UAE looks to regulate blockchain ICOs
When a new technology introduces itself, it is always difficult to grasp the impact that it will have. There are some technological innovations that have changed the world, like the internet, but there are also many technologies that did not make it as far (remember the Segway, anybody?). However, when a technology shows early signs of adoption, it is crucial for governments to clearly understand and regulate it in order to maximise its potential in the long run, and avoid confusion within the entrepreneurial and investor community.
Over the last few years, blockchain technology has certainly turned a lot of heads, with the meteoric price rise of Bitcoin in late 2017 being one of the main talking points in the entire year. Blockchain technology, which underlies cryptocurrencies like Bitcoin and Ethereum, has shown real promise, which prompted the UAE government to become one of the first governments to lay out clear regulations for initial coin offerings (ICOs). ICOs are a method of fundraising through which the company or startup launches a new cryptocurrency token and sells it to the public.
Learn more about the regulations regarding these ICOs in the UAE here.