RAKBANK, Kraken to enable UAE’s first AED-based virtual asset trading

RAKBANK, Kraken to enable UAE’s first AED-based virtual asset trading

Central Bank of UAE-regulated RAKBANK and Kraken MENA, a leading digital asset exchanges platform, has reportedly announced that UAE residents will be able to trade virtual assets in AED through their local bank accounts in the near future.

Underpinning its commitment to improving banking and innovation, RAKBANK will enable the Abu Dhabi Global Market (ADGM) licensed Kraken to fund the crypto accounts of their UAE-based clients using local fund transfers from any UAE-based bank.

Notably, Kraken emerged as the first global exchange to have secured a full license allowing it to operate a regulated virtual exchange platform in the ADGM.

Meanwhile, RAKBANK will become the first bank in UAE to help Kraken offer an efficient, transparent, and dirham-based digital asset trading option to their customers, in line with UAE’s goal to become a global hub for virtual asset trading.

Speaking on the development, Raheel Ahmed, Chief Executive Officer of RAKBANK, stated that as the first bank to enable Kraken, it marks an important milestone in RAKBANK’s journey to make banking simpler and easier using innovation.

According to Mr. Ahmed, UAE is being recognized as a global hub for cryptocurrency, and the virtual assets industry.

At present, UAE residents need to use banks or foreign correspondents outside UAE in order to grab funding for trading virtual assets. This scenario escalates the costs associated with foreign exchange, stretches lead times beyond 24 hours, and are subject to international-jurisdiction asset governance.

The innovative solution will not only enable faster and affordable funding but will also ensure that UAE residents fund their accounts whilst complying within the UAE jurisdiction.

Thanks to the groundbreaking solution, Kraken’s UAE-based investors will be able to perform virtual assets transparently by leveraging the ADGM-regulated crypto exchange, which is capable of AED-crypto conversions through UAE Central Bank-regulated channels.

Source Credit: https://www.zawya.com/en/press-release/companies-news/rakbank-and-kraken-to-offer-uaes-first-aed-denominated-virtual-asset-trading-k0lyw5dl