Support of over 10 billion yen from ADGM
The IOTA Foundation, a non-profit organization that researches and develops the crypto asset (virtual currency) IOTA, announced on the 27th that IOTA is the first decentralized entity to be registered on the Abu Dhabi Global Market (ADGM) in Abu Dhabi, United Arab Emirates (UAE). announced that it would become the Type Ledger (DLT) Foundation.
It is a major step forward in bringing institutional investors and diverse assets into the ecosystem.
ADGM is Abu Dhabi’s local financial center and is also the institution responsible for regulating virtual currency transactions.
This move will provide the IOTA ecosystem with approximately over 14.7 billion yen ($100 million) in funding in the form of IOTA tokens over a period of four years. The funds will be used to foster the IOTA ecosystem and accelerate the growth of the IOTA protocol.
Following this registration, the IOTA Foundation plans to build important partnerships within the region and promote the implementation of IOTA and its staging network, Shimmer, in various sectors.
Shimmer is a Layer 1 network that allows developers to test decentralized finance (DeFi) and non-fungible token (NFT) applications as a simulated environment. It offers SMR as its own token.
Key initiatives based in Abu Dhabi include collaborating with institutional investors, governments and academic institutions for the tokenization of real asset assets (RWA). It is expected to bring billions of dollars to the UAE’s crypto sector by offering various assets from around the world on-chain.
RWA tokenization is a hot area where efforts are being made in countries around the world, including Japan.
Furthermore, we aim to foster the cryptocurrency community within the ADGM ecosystem, and we plan to hold regular events for this purpose.
What is RWA?
Abbreviation for “Real World Asset.” RWA that is tokenized on the blockchain includes real assets such as real estate, artwork, trading cards, and securities such as stocks and bonds.
▶️Virtual currency glossary
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Abu Dhabi’s favorable regulatory environment
Dominic Schiener, co-founder and chairman of the IOTA Foundation, commented:
IOTA Foundation’s support from the Abu Dhabi Global Market (ADGM) and its partnership with the UAE authorities is more than just global expansion.
This means the arrival of a new era of regulatory synergy in the virtual currency market.
The IOTA Foundation rates ADGM as having one of the most progressive and flexible regulatory frameworks in the world.
In February, ADGM announced at Hub71, a tech company development project, that it would invest approximately 270 billion yen to promote Web3, including blockchain and the Metaverse.
connection: UAE Abu Dhabi to invest 270 billion yen to support Web3 startups
What is Web3?
The current centralized web is defined as Web2, and refers to an attempt to realize a decentralized network using blockchain, etc. Typical features include use cases for decentralized networks such as blockchain, such as accessing dApps using virtual currency wallets.
▶️Virtual currency glossary