Abu Dhabi Global Market publishes the "Guiding Principles" document on its role in regulating virtual asset activities

The Financial Services Regulatory Authority at the Abu Dhabi Global Market has published the "Guiding Principles" document that explains its approach to regulating and supervising the activities of the virtual asset market, and its role in defining its expectations towards the various asset classes and service providers in the sector.

These "guiding principles" are in accordance with what was announced by the Abu Dhabi Global Market.

A reference that complements the clarification of the role played by the comprehensive regulatory framework of the Abu Dhabi Global Market for the activities of instant virtual assets and aims to strengthen the regulatory cooperation relations between the Financial Services Regulatory Authority in the Abu Dhabi Global Market and other authorities within the UAE and in other global markets, as well as the educational role that will Its Guidelines are to educate investors and the public about the regulatory actions taken by the Financial Services Regulatory Authority to identify and respond to underlying risks.

In particular, the Guiding Principles illustrate the susceptibility and ability of the financial services regulator to accept risks and determine its priorities for the sector. Each of these principles highlights one of the main pillars of this comprehensive approach to the ADGM, which is the existence of a strong regulatory framework characterized by Transparency, high licensing standards, anti-money laundering and other financial crimes, ability to supervise and monitor risks, powers to apply sanctions for regulatory violations, and commitment to international cooperation.

Thus, the "Guiding Principles" provide an important reference document for those wishing to join the ADGM as well as other regulatory authorities interested in this field.

The guiding principles document reflects the depth of experience that the Financial Services Regulatory Authority of the Abu Dhabi Global Market has accumulated since it presented the world with the first regulatory framework dedicated to virtual assets in 2018.

The guiding principles in general aim to ensure the protection of customers, improve the level of ability to monitor risks, market integrity and financial stability, and trust in the comprehensive system of the virtual asset market, which ultimately leads to the establishment of a mature society for virtual assets characterized by activity and vitality, and the consolidation of the position of the Abu Dhabi Global Market as a destination A favorite for virtual asset companies and investors.

In light of the recent developments in the market and the diversity of views on the future of the virtual assets market, ADGM affirmed its commitment to this vital sector, keeping pace with its continuous transformations and supporting its ability to innovate. The Financial Services Regulatory Authority continues to focus its efforts to maintain a flexible regulatory framework and its ability to Respond quickly to changes related to the risks of the virtual asset market.

The Financial Services Regulatory Authority understands the cross-border nature of this asset class, and from this standpoint, it is working to consolidate its continuous cooperation with other regulatory authorities locally and globally, as a necessary element to prevent harmful regulatory arbitrage.

Emmanuel Jevanakis, CEO of the Financial Services Regulatory Authority at ADGM, said: “The guiding principles document will provide investors, other regulatory authorities, industry players and the public with greater clarity regarding our approach to regulating and supervising virtual asset market activities and our key expectations that We have identified them for existing virtual asset service providers in ADGM and potential future clients.”

And he added: "The guiding principles document defines the tools we rely on to mitigate the tangible risks that arise from these activities, as well as our regulatory capabilities to identify behaviors in violation of legislation and how to deal with them. The "Guiding Principles" are in line with the strategy of the Financial Services Regulatory Authority that is compatible with the International best practices, and demonstrates the universality of our regulatory framework standards at a time when there is an increased need to focus on regulatory matters amid the current market conditions and shifts.”

Follow our latest local and sports news and the latest political and economic developments via Google news