The world’s thirteenth biggest autonomous wealth fund, Abu Dhabi-based Mubadala Investment Capital, has invested in cryptocurrency exchange MidChains.
As local newspaper Gulf News detailed on August 11, Mubadala Investment Capital has invested in MidChains, a cryptocurrency trading platform set to roll out in late 2019 in Abu Dhabi. The exchange will be located within the international financial center and free zone Abu Dhabi Global Market (ADGM).
MidChains co-founder Basil Al Askari commented on the investment, saying:
“We’re an exchange. You can think of it similar to a stock exchange, but where you’re trading equities, for us, it would be crypto. We also perform custody activities, which means we also can store, settle, and clear crypto transactions on behalf of our clients.”
According to the firm, international stakeholders have already communicated interest in utilizing MidChain’s trading platform. Al Askari moreover said that he sees Bitcoin (BTC) as a new investment class instead of a substitution for existing fiat currencies.
ADGM’s Financial Services Regulatory Authority authorized MidChain earlier this year to operate a cryptocurrency exchange. This reportedly implies that once introduced, the platform will be completely regulated by the authority.
Arabian Bourse (ABX), a crypto asset exchange and custodian based in UAE, has gotten initial regulatory endorsement from the ADGM in June. ABX is to be based within the Abu Dhabi Global Market Authorities Building — purportedly to take advantage of the city’s proactive crypto-asset administrative framework.
BitOasis, another UAE-based crypto exchange, secured preliminary endorsement with financial regulators in April. To get a permit, the exchange must meet particular technical and operational prerequisites, which it anticipates to do within the second half of the year.