Classifieds powered by Gulf News

Dubai gold trader gets first licence in region to store cryptos

Investors, traders will be able to store cryptocurrencies offline in Dubai with insurance

Image Credit: Courtesy: DMCC
Ahmad Bin Sulayem with Tyler Gallagher and other officials.
Gulf News

Dubai

Regal RA, a gold trader and a unit of Regal Assets, has been issued a trading licence in a region’s first to store cryptocurrencies in an offline server with insurance.

Last month, a bitcoin exchange in Japan witnessed a daring theft of $530 million of digital money, triggering a debate among traders of cryptocurrencies to prevent any risk of fraud, hacking and other threats in the virtual world.

The Regal Assets’ process will generate offline blocks using the specific cryptos blockchain derived algorithm. The key is then printed offline within the secured environment on a specialised wallet and placed in deep cold storage vault located in DMCC’s Almas Tower in Dubai, the DMCC said in an emailed statement.

The vault at DMCC will store all Regal Assets’ crypto investments in the physical form — without connection to a network — alongside the company’s’ current stock of physical gold.

“At the heart of DMCC’s long term strategic growth plan is the use of technology and innovation to disrupt and connect new markets, industries and customers. The announcement today embodies this approach and will no doubt come as good news to the international cryptocurrency market,” said Ahmad Bin Sulayem, Executive Chairman, DMCC in a statement.

Potential

“Investors worldwide are now seeing the potential in cryptos, but they are reluctant to store large amounts of coins in online wallets and exchanges due to the high risk of hacking, identity theft, malware and other issues that can literally obliterate an investment,” said Tyler Gallagher, CEO of Regal Assets DMCC.

There has been a surge in interest among traders to play in the cryptocurrency market, which fuelled the rise of Bitcoin prices to a record high of more than $19,000. But prices tumbled to a low of $8,000 last month on expectations of increased regulations from eastern countries. Traders expect cryptocurrencies to be a main point of discussion at the G20 meeting in March.

Loading...