The Registration Authority (RA) of Abu Dhabi Global Market (ADGM) has officially released the Distributed Ledger Technology (DLT) Foundations Regulations 2023, marking a significant milestone in the evolution of digital assets regulatory frameworks across the region and at an international level.
The new Abu Dhabi Global Market Distributed Ledger Technology (DLT) Foundations Regulations 2023 provide a comprehensive framework for DLT Foundations and Decentralised Autonomous Organisations (DAOs). This hopes to enable them to operate and issue tokens recognising the unique needs of the Blockchain industry. This new regime comes in line with ADGM’s strategy to foster initiatives in the broader blockchain and digital asset realm.
By setting a global benchmark as the world’s first of its kind, this regulatory framework is designed to be suitable for Blockchain Foundations, Web3 entities, DAOs, and traditional foundations seeking to enhance their operations through DLT.
By harnessing the potential of technology, ADGM’s DLT Foundations Regime offers an effective means to organise and promote governance whilst recognising the industry’s need for decentralisation. The regime’s enactment followed a public consultation with DLT industry participants to obtain user feedback and enhance the regulations.
The new framework should also strengthen ADGM’s position as a global pioneer in the regulations of digital assets.
Abu Dhabi: destination of choice?
Commenting on the launch and the enactment of the framework, Ahmed Jasim Al Zaabi, chairman of ADGM, also explained: “Abu Dhabi is rapidly emerging as the destination of choice for global players at the forefront of digital asset development.
“The introduction of the DLT Foundations Regime marks a revolutionary step forward, reinforcing ADGM’s commitment to a proactive approach rooted in extensive cross-industry dialogue and collaboration with various stakeholders.
“The new regime serves as a driving force for positive change in the digital assets sector. By transforming the blockchain and Web3 landscape, we are moving towards a future characterised by setting global benchmarks with enhanced transparency and efficiency.”
Digital Ledger Technology has progressed rapidly in recent years, and the technology is now at the heart of the global digital assets sector. ADGM, as a leading IFC, remains committed to championing technological innovation and supporting crypto initiatives.