Mubadala Investment Capital, the thirteenth biggest independent wealth fund in the world, recently invested in the cryptocurrency exchange platform MidChains. The news was initially reported in the UAE newspaper Gulf News.
Gulf News Report
According to Gulf News, the MidChains trading platform is scheduled to be launched later this year in Abu Dhabi. The digital currency exchange will be based in the Abu Dhabi Global Market (ADGM), a free zone and international financial center.
MidChains co-founder Basil Al Askari described the company as like a stock exchange, except that people would be trading in cryptocurrencies instead of equities. The company is also capable of conducting custody activities, thus enabling them to settle, clear, and store transactions on their clients’ behalf.
Al Askari also shared that foreign investors have already signified their interest in using the company’s trading platform. He also admitted that he views Bitcoin (BTC) as a new investment category and not a replacement for current fiat currencies.
Authorization to MidChains
The ADGM has already given MidChains authorization to operate a crypto exchange. It’s a clear indication that once the platform is launched, it will fall completely under the regulations of authorities.
The ADGM has also given preliminary regulatory approval to the Arabian Bourse (ABX), a crypto exchange and custodian firm based in the UAE. The ABX is a collaboration between Arshad Khan and the GMEX Group. It’s set to be situated in the ADGM Authorities Building so it can fully benefit from the cryptocurrency asset framework that Abu Dhabi has launched.
BitOasis, another UAE cryptocurrency exchange platform, was also able to secure initial approval from financial regulators back in April.