Abu Dhabi’s financial authority issued a new regulation earlier this month pertaining to the IOTA Ecosystem DLT Foundation, making it the first to get clearance from authorities in the country.
On November 29th, IOTA, a creator of open-source blockchain technology, announced the establishment of the IOTA Ecosystem DLT Foundation in Abu Dhabi. The purpose of the foundation is to support the expansion of IOTA’s distributed ledger technology (DLT) throughout the Middle Eastern area.
The statement states that one hundred million IOTA digital tokens will be used to fund the new foundation. These tokens will be vested over the following four years.
Dominik Schiener, co-founder and chairman of the firm, has said that one of the foundation’s main objectives is to “convert real-world assets into digital ones” and to promote the rapid expansion of the foundation’s distributed ledger technology.
“With the market currently experiencing a reshuffle, we can position ourselves favorably by concentrating on onboarding institutions and providing them with the opportunity to work on-chain, as this is now more feasible in the UAE.”
The network will start “tokenizing” assets and enhancing its technology to back up advances in the Middle East.
One of the first blockchain-focused organizations to get approval from ADGM authorities was the IOTA Ecosystem DLT Foundation.
This change occurs little over a month after ADGM on November 2nd imposed stringent rules aimed at decentralized ledger technology (DLT) platforms such as IOTA. Organizations in the area are supposedly given options to develop into DLT by the rules.
Tokenholders must be considered beneficiaries, names must finish with “DLT Foundation,” a council must consist of two to sixteen members, and the new laws state that entities must not engage in activities that need a license from the ADGM in order to be in compliance.
In addition, the new architecture makes it possible for DAOs to legitimately function and provide tokens to its members.
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