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Crypto Currency Blockchain Business Set Up - DMCC (Freezone)

16/9/2022

The below-mentioned options are the progressive and non-traditional ways of venturing into setting up a crypto blockchain business in DMCC (Freezone), Dubai, United Arab Emirates.

Blockchain

A blockchain is a decentralized ledger of all transactions across a peer-to-peer network. Using this technology, participants can confirm transactions without a need for a central clearing authority. Potential applications can include fund transfers, settling trades, voting and many other issues.

Whereas Cryptocurrency can be defined below:  

Cryptocurrency is a digital currency that is seen as the future when it comes to exchanging currencies. Although it follows a similar concept to digital modes of payment, it is also vastly unique to what we are used to. The reason why people are turning to invest in cryptocurrency has more advantages than traditional currency. The reasons include the following options available:

Crypto mining Facility Operator

Setting up and managing a facility housing computer systems and associated components, such as telecommunications and storage systems, for the purpose of the generation of virtual assets by crypto miners. The facility has to be in JLT, and till now there are no specific rates on electricity.

Proprietary Crypto Mining

Verifying and adding new transactions to the blockchain (using methods such as proof-of-work) in order to generate Crypto Assets and trade assets on proprietary level exchange platforms. The mining equipment can be in any place inside UAE or outside but the company’s address must be within JLT (Jumeirah Lake Towers).

Restricted:

- Providing services to 3rd parties

- Acting as an exchange

- Providing brokerage services

- Financial services

- Banking services

- Peer-to-peer trades or payments processing

Proprietary and Trading in Crypto commodities

Individuals/companies to buy and sell crypto commodities such as cryptocurrencies, NFTs or any crypto assets on a proprietary basis. Using their own funds at their own risk. Money can only be invested into this company by the shareholders.

Restricted:

- Financial services, banking services

- Acting as an exchange

- Payment processing

- Storage services

- Providing brokerage services

- Buying & Selling

Metaverse Service Provider

Develop and host digital virtual environments, which enable simulated and interactions between individuals. Issue tokens/ NFTs that remain within the game and do not list on regulated exchanges

Restricted:

- Issue own tokens that are traded or exchanges

- Operate an exchange

- Trade in cryptocurrencies

- Issuing own NFTs that are traded on market places

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