{"id":550543,"date":"2023-02-10T16:43:21","date_gmt":"2023-02-10T13:43:21","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/crypto-projects-respond-to-privacy-coin-ban-in-dubai\/"},"modified":"2023-02-10T16:43:21","modified_gmt":"2023-02-10T13:43:21","slug":"crypto-projects-respond-to-privacy-coin-ban-in-dubai","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/crypto-projects-respond-to-privacy-coin-ban-in-dubai\/","title":{"rendered":"# Crypto projects respond to privacy coin ban in Dubai"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3845acbafed\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3845acbafed\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/crypto-projects-respond-to-privacy-coin-ban-in-dubai\/#%E2%80%9D_Crypto_projects_respond_to_privacy_coin_ban_in_Dubai_%E2%80%9C\" >&#8221; Crypto projects respond to privacy coin ban in Dubai  &#8220;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/crypto-projects-respond-to-privacy-coin-ban-in-dubai\/#Effects_of_the_ban_on_privacy_coin_issuance_and_activities\" >Effects of the ban on privacy coin issuance and activities<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/crypto-projects-respond-to-privacy-coin-ban-in-dubai\/#Perspective_from_a_privacy-focused_project\" >Perspective from a privacy-focused project<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/buradabiliyorum.com\/en\/crypto-projects-respond-to-privacy-coin-ban-in-dubai\/#Dubai_still_on_its_way_to_becoming_a_global_crypto_hub\" >Dubai still on its way to becoming a global crypto hub<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Crypto_projects_respond_to_privacy_coin_ban_in_Dubai_%E2%80%9C\"><\/span>&#8221; Crypto projects respond to privacy coin ban in Dubai  &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjMtMDIvNzg4M2U5YjAtNWU4Yy00ODIxLTg2MzctZDkzYjE3YjNiYTZmLmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-4bbf85c5>The Virtual Asset Regulatory Authority (VARA) recently provided the much-awaited guidelines for virtual asset service providers (VASPs) in Dubai, United Arab Emirates, which included a ban on privacy coins.<\/p>\n<p>On Feb. 7, VARA <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.vara.ae\/media\/Virtual%20Assets%20and%20Related%20Activities%20Regulations%202023.pdf\">released<\/a> several rulebooks for VASPs including the \u201cVirtual Assets and Related Activities Regulations 2023\u201d in which VARA mentioned a prohibition on privacy coins. In the document, VARA wrote:\u00a0<\/p>\n<blockquote><p>\u201cThe issuance of Anonymity-Enhanced Cryptocurrencies and all VA Activity[ies] related to them are prohibited in the Emirate.\u201d<\/p><\/blockquote>\n<p>Cointelegraph reached out to several players within Dubai and a privacy protocol project to find out how market participants feel about the updated guidance on crypto in Dubai. <\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Dubai\u2019s VARA,has issued its Virtual Assets and Related Activities Regulations 2023.The Regulations set out a comprehensive Virtual Asset (VA) Framework built on principles of economic sustainability &amp; cross-border financial security. <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/XXDPdktpuY\">https:\/\/t.co\/XXDPdktpuY<\/a> <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/MdVPgSW5AT\">pic.twitter.com\/MdVPgSW5AT<\/a><\/p>\n<p>\u2014 Dubai <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Media<\/a> Office (@DXBMediaOffice) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/DXBMediaOffice\/status\/1622931856885678080?ref_src=twsrc%5Etfw\">February 7, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Effects_of_the_ban_on_privacy_coin_issuance_and_activities\"><\/span>Effects of the ban on privacy coin issuance and activities<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>According to Khaled Moharem, president of the Middle East at blockchain-based payments ecosystem WadzPay, the <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> did not come as a surprise because other regions have made similar indications. Moharem told Cointelegraph that, while more time is needed to fully assess the implications of the new development, their initial assessment shows that issuance will be banned. He explained:\u00a0<\/p>\n<blockquote><p>\u201cAt the end of the day, money, whether physical or digital, does require some degree of traceability. While there was an incorrect bias that digital currencies, such as Bitcoin and Ethereum, are untraceable, this was not actually the case.\u201d<\/p><\/blockquote>\n<p>He added that this is the reason why their crypto payments company implements Know Your Customer and Anti-Money Laundering measures, which ensure that funds are not used for illicit purposes. <\/p>\n<p>Moharem also noted that their firm welcomes the guidelines from VARA. He pointed out that, while this may eliminate a small segment of digital currencies, it confirms the legitimacy of other digital currencies like Bitcoin (BTC) and Ether (ETH). <\/p>\n<blockquote><p>\u201cOur company is very pro-regulation, and having a clear framework by which to operate in will only strengthen the industry&#8230; This news is potentially significant for growing digital currency payments, as the government is showing that they are protecting consumers, as well as vendors.\u201d<\/p><\/blockquote>\n<p>The executive also highlighted that, while the privacy coins may be impacted, the effects will not be fatal. \u201cI don\u2019t think these projects will entirely die off, as the ban isn\u2019t international,\u201d he said. However, Moharem recognized that availability and distribution will be limited within the local market. <\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Dubai establishes virtual asset regulator and announces new crypto law<\/em><\/strong><\/p>\n<p>Saqr Ereiqat, co-founder of Crypto Oasis \u2014 a venture-building company that assists the local crypto ecosystem through various services \u2014 echoed some of the sentiments expressed by Moharem. Ereiqat told Cointelegraph that privacy coins are inherently different from BTC and ETH, where transactions can be traced by providing provenance. He explained: <\/p>\n<blockquote><p>\u201cThink of privacy coins as you would think of U.S. dollar bills that have nearly been passed from one person to the next, making it impossible to track their owner. This presents a unique challenge, as allowing them may enable illicit trade.\u201d <\/p><\/blockquote>\n<p>As for those who may be affected by the rules, Ereiqat suggested that the effect may be minimal. According to the executive, their latest available data show that within the over 1,000 projects supported by Crypto Oasis, they have not yet encountered any privacy projects being launched.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Perspective_from_a_privacy-focused_project\"><\/span>Perspective from a privacy-focused project<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Cointelegraph also reached out to a privacy project that could potentially be affected by the new laws if they ever wanted to establish a headquarters in Dubai. Christopher Goes, co-founder of privacy protocol Anoma, offered a different opinion than the others. He told Cointelegraph:\u00a0<\/p>\n<blockquote><p>\u201cBy banning \u2018privacy coins\u2019 instead of engaging to understand the <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a>, regulators are demonstrating that they aren\u2019t really working on behalf of the public, for whom privacy is a basic human right.\u201d<\/p><\/blockquote>\n<p>Apart from this, Goes argued that the term \u201cprivacy coin\u201d is the wrong de<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">script<\/a>ion for technological systems that offer privacy.<\/p>\n<p>\u201cThere is no such thing as a \u2018privacy coin.\u2019 There are technological systems like Bitcoin where transaction information is disclosed to everyone whether a user wants it to be or not, and technological systems like Zcash where users have control over who they disclose their transaction information to,\u201d he explained.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Dubai_still_on_its_way_to_becoming_a_global_crypto_hub\"><\/span>Dubai still on its way to becoming a global crypto hub<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Binance, one of the first companies to secure a license from VARA to operate in Dubai, also gave its position on the topic. Binance Dubai <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a> manager Alexander Chehade said that the new development shows Dubai\u2019s ambition of setting the benchmark for becoming a \u201ctransparent and forward-thinking Web3 hub.\u201d He explained:\u00a0<\/p>\n<blockquote><p>\u201cBinance welcomes this new set of regulatory guidelines that focus on safeguarding users and investors while supporting the development of blockchain-enabled solutions and encouraging innovation in the Web3 ecosystem.\u201d<\/p><\/blockquote>\n<p>Ereiqat also mentioned some data that suggest that Dubai is on its way to becoming a true global hub for crypto. \u201cWe are witnessing an unprecedented migration of talent and capital from around the world into the UAE, which is why we are referring to this ecosystem as the Crypto Oasis,\u201d he said. According to Ereiqat, Crypto Oasis has more than 8,300 professionals currently working in this space.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/crypto-projects-respond-to-privacy-coin-ban-in-dubai\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Crypto projects respond to privacy coin ban in Dubai &#8220; The Virtual Asset Regulatory Authority (VARA) recently provided the much-awaited guidelines for virtual asset service providers (VASPs) in Dubai, United Arab Emirates, which included a ban on privacy coins. On Feb. 7, VARA released several rulebooks for VASPs including the \u201cVirtual Assets and Related&#8230;<\/p>\n","protected":false},"author":1,"featured_media":550544,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s3.cointelegraph.com\/uploads\/2023-02\/7883e9b0-5e8c-4821-8637-d93b17b3ba6f.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[75014,77146,74355,71644,55229,70934],"class_list":["post-550543","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-binance","tag-uae","tag-adoption","tag-dubai","tag-law","tag-regulation"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/550543","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=550543"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/550543\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/550544"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=550543"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=550543"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=550543"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}