Dubai is stepping up checks on companies applying for a license to deal with cryptocurrencies

According to information obtained by the Bloomberg agency, the authorities of Dubai have begun to strengthen checks on companies that apply for a license to operate with cryptocurrencies. This follows the collapse of the FTX exchange last year. Dubai is keen to strike a balance between innovation and business ties with the West, where market regulation is tightening.

Recently, Dubai has become a popular destination for cryptocurrency companies and startups, and the city’s authorities are keen to create a favorable environment for their development. However, after the collapse of the FTX exchange last year, when investors lost their money due to inadequate performance of the exchange, Dubai authorities decided to tighten the requirements for cryptocurrency companies.

Experts believe that such measures were taken in order to maintain Dubai’s reputation as a place where business is easy and simple to operate. At the same time, Dubai does not want to lag behind other countries in the field of innovation and aims to create a favorable environment for cryptocurrency companies.

Overall, the strengthening of requirements for cryptocurrency companies is a positive step towards ensuring the safety of investors and protecting the interests of businesses in general. However, it can also lead to increased costs for cryptocurrency companies and make it more difficult for them to grow. Thus, it is important to strike a balance between protecting business interests and ensuring user security.