Standard Chartered’s investment arm, SC Ventures, and SBI Holdings have announced plans to create a $100 million crypto firm or “Digital Asset Joint Venture investment company” in the UAE (United Arab Emirates). According to an announcement, the partnership will invest in DeFi, tokenization, consumer payments, and the Metaverse.
The announcement notes that, in May, Standard Chartered signed a Memorandum of Understanding (MoU) with the Dubai International Financial Centre. The MoU aimed for collaboration in the digital asset space, including digital asset custody. Moreover, in the same month, the bank’s investment arm exited its stake in Metaco, a crypto firm owned by Ripple. Metaco recently announced a partnership with HSBC to offer storage solutions for the bank’s upcoming custody services.
Also Read: HSBC To Launch Digital Asset Custody With Ripple-Owned Firm
Standard Chartered and SBI Holdings’ latest move is another step forward for the crypto industry in the UAE.
According to Yoshitaka Kitao, CEO of SBI Holdings, ‘We are thrilled to announce our partnership to establish a Digital Asset Joint Venture in UAE together with SC Ventures and bring to bear the collective capabilities of both our organizations in the digital asset space.’
Is the UAE now the global crypto hub?
The UAE is one of the fastest-growing crypto hubs in the world. The region has attracted some of the biggest names in the digital asset industry because of its well-defined rules and regulations.
Also Read: Dubai Incorporates XRP Into Special Economic Zone
Alex Manson, CEO of SC Ventures, stated, ‘The region is fast becoming a hub for fintechs in the digital asset space due to its strengthening infrastructure and talent.‘
Manson also added that the firm plans to further expand in the region. He stated, ‘This is one of several strategic initiatives and we will continue to invest and expand our footprint in the region as well as across the digital assets ecosystem.’