Stacks establishes foundation within UAE’s ADGM

Zodia Markets Achieves Crypto Broker-Dealer Approval in UAEZodia Markets, the London-based digital asset marketplace backed by Standard Chartered Ventures, has achieved the milestone of receiving In-Principle Approval (IPA) to operate as a cryptocurrency broker-dealer in Abu Dhabi’s over-the-counter (OTC) market.Photo by Kamil Rogalinski on UnsplashADGM green lightThat’s according to a press release published by Zawya, a business intelligence media outlet that covers the Middle East and North Africa (MENA) region. The regulatory approval comes from the Abu Dhabi Global Market (ADGM), a renowned financial hub in the United Arab Emirates (UAE).Salem Mohammed Al Darei, CEO of the ADGM Authority, extended his congratulations to Zodia Markets on this achievement and welcomed them into the ADGM ecosystem. The In-Principle Approval marks the third step in a comprehensive five-stage application process outlined by ADGM. The subsequent stages involve securing final approval and undergoing an “operational launch” test to ensure seamless functionality, with a need to follow ADGM’s guidance meticulously.“The harmony of traditional and new-age finance in Abu Dhabi with an international leading digital asset firm such as Zodia Markets that is backed by the well-established Standard Chartered will contribute to further enhancing the attractiveness of ADGM as a preferred destination for global entities,” Al Darei stated.Expanding global footprintZodia Markets’ strategic decision to enter the UAE market aligns with the growing prominence of the UAE in the digital assets industry. This move compliments Zodia Custody’s decision to launch a crypto custodian service in the UAE emirate of Dubai back in May. While both businesses are independent of each other and fully segregated, they share the very same parent company in Standard Chartered.At the time, a memorandum of understanding (MoU) was signed by parent company Standard Chartered alongside the Dubai International Financial Center (DIFC).This latest move bolsters the geographical presence of Zodia Markets but also provides institutional investors in the Middle East and Africa with convenient access to the world of digital assets, thereby strengthening the company’s global footprint in the digital asset space.News of the firm’s intentions to enter the UAE market emerged last November. The company’s thinking at the time was that it could exploit an opportunity to expand in the MENA region due to more progressive regulation while the US and Europe were perceived to be developing at a much slower pace from a regulatory point of view, making them unattractive comparatively.ADGM has been at the forefront of shaping the regulatory landscape for companies involved in virtual assets. In April, it put forward a legal framework for decentralized tech. As part of its commitment to fostering innovation, ADGM recently granted permission for the operation of a virtual asset platform named M2 and issued a license to the cryptocurrency exchange Rain in July.Usman Ahmad, CEO of Zodia Markets, articulated the company’s mission, stating:“Our goal is to provide institutions seamless access to trade digital assets without compromising on the standards and controls that exist in traditional financial markets.”Zodia Markets is a joint venture between Standard Chartered and Hong Kong-based digital assets platform OSL, which also expressed its enthusiasm for the In-Principle Approval.

NEOPIN and MEVerse Join Hands to Expand Blockchain EcosystemCentralized decentralized finance (CeDeFi) protocol provider NEOPIN said Tuesday that it has teamed up with MEVerse, the blockchain mainnet operated by gaming company ME2ON Group, to expand the global blockchain ecosystem and optimize the accessibility and functionality of their respective platforms.Photo by Gerd Altmann on PixabayPromoting blockchain worldwideBoth parties have agreed to collaborate on integrating their platforms to build a global user base consisting of those who have completed necessary verification procedures like Know Your Customer (KYC) and Anti-Money Laundering (AML). They will also support each other’s global partner networks, contributing to service enhancement and ecosystem expansion. NEOPIN has also vowed to introduce MEVerse to its global user community.“Initiating the integration of NEOPIN and MEVerse platforms, we are poised to play an active role in fostering the growth and widespread adoption of the blockchain ecosystem. This includes the enduring fusion of blockchain technology with Korean content.” said Ethan Kim, CEO of NEOPIN.Collaborative synergyMEVerse possesses various blockchain infrastructures, including the Web3 P2E casual game portal MEVerse GameZ, non-fungible token (NFT) marketplace MEVerse DEX, blockchain explorer MEVerse Scan, and more. The platform said that it is currently in the process of establishing a borderless Web3 ecosystem by boosting compatibility with its mainnet ecosystem and leveraging cross-chain technology.“MEVerse’s strengths lie in its possession of a wide range of blockchain platforms and content, from its blockchain mainnet to the Web3 gaming ecosystem and Korean content,” Kim commented.Meanwhile, NEOPIN has accumulated knowledge and expertise on blockchain operations during its time as a node validator for various blockchain networks such as Ethereum and Cardano since 2017. Last year, the platform launched its CeDeFi protocol, providing a secure and user-friendly DeFi platform.“We are thrilled to partner with NEOPIN, a pioneer in the DeFi sector. Through tangible integration examples, we look forward to facilitating user engagement and cultivating an expanded Web3 ecosystem,” said Jong-ho Hong, CEO of MEVerse.

KISA to establish blockchain trust framework for public servicesThe Korea Internet & Security Agency (KISA) is developing a system called the Korea-Blockchain Trust Framework (K-BTF) to facilitate the development and operation of blockchain-based public services, said Lee Kang-hyo, a senior official at KISA, during the 2023 Blockchain Grand Week on Wednesday (local time).Blockchain Grand Week is an event hosted by the Ministry of Science and ICT and jointly organized by the National IT Industry Promotion Agency (NIPA), the Korea Internet and Security Agency (KISA) and the Institute of Information and Communications Technology Planning and Evaluation (IITP) to promote the value of blockchain technology in enhancing trust in the digital age.Photo by Philipp Katzenberger on UnsplashPrevious roadblocksKISA has executed over 100 blockchain pilot projects over the last five years, but only a few have been carried out due to significant costs and interoperability barriers between services. According to the agency, it costs KRW 450 million (approximately $348,000) to carry out one project. Therefore, it has shifted its focus to making development easier and supporting data interoperability between services.“Developing blockchain-based public services entails building a blockchain platform, developing services and connecting them with government legacy systems,” Lee explained. “Blockchain developer APIs are becoming standardized overseas, and we thought it was time for us to leverage such advantages as well.”Another challenge was that previous blockchain-based public or governmental services did not offer smooth user experiences (UX), often requiring the installation of separate wallets or applications with each use.Bringing cost-efficient, user-friendly public blockchain servicesTo address these issues, KISA decided to focus on three key areas for building K-BTF — cost reduction, convenient development and usability — with an overall groundwork that covers interfaces, services and security while minimizing intrusion into the private sector.Once the K-BTF is established, government agencies will be able to easily plan and operate blockchain-assisted services such as decentralized identifiers (DIDs) and non-fungible tokens (NFTs). The costs for development will be determined based on how much a given service is used instead of the original base cost of KRW 450 million.Also, public institutions tend to go through staffing changes quite often, and building services under K-BTF will enable governmental operations to run normally without any roadblocks or inconveniences caused by such changes.Lee went on to mention that although a wide array of services can be built on the framework, there will be basic requirements in terms of functionality, performance and security that must be fulfilled for a service to run on it. To verify this, the KISA established a testing and certification system that utilizes its Cloud Security Assurance Program (CSAP) certification system and the Information Security Management System (ISMS).To improve usability, the framework will require users to install only one digital wallet that stores digital forms of identification and various authentication certificates.The KISA is set to start working on the K-BTF next year. Notably, it plans to create a governance system consisting of government agencies — those that are the demand clients for the framework –, private corporations and related experts. Six core services that will employ K-BTF have already been selected after a review of 34 pilot projects proposed in 2021 and 2022 and major national blockchain projects from six overseas countries. These six services are NFTs, DIDs, data origin authentication, data history tracking, Blockchain as a Service (BaaS) and digital wallets.Lee emphasized that the goal of the K-BTF is to derive services that can be used by the public sector within regulatory and technological boundaries.