The Central Bank of Bahrain (CBB) approved the creation of a regulatory sandbox for the Dubai crypto exchange Palmex, reports Bitcoin. com.
Created by Arabianchain Technology, Palmex became the first in the Middle East and North Africa (MENA), which received such a license.
The Exchange trades in several currency pairs, including traditional BTC, ETH, LTC and XRP, as well as Dubaicoin (DBIX). The latter represents the first decentralized cryptocurrency of the MENA region.
The Arabianchain Technology Venture Company is also based in Dubai. The Arabianchain it is the first public blockchain in the MENA region.
The license comes into force on July 15 within the strict application process, during which the security and protection systems of the exchange's customers are checked.
[Company] will start with a limited number of select users to test and optimize the process and then expand to the rest. A significant rise in awareness and adoption [of cryptocurrency] could be expected, driving a huge spike in the number of trades and token-based fundraising across the region while maintaining the safety of the financial system.
Founder and CEO, Arabianchain
The regulatory sandbox creates a virtual safe space for the development and launch of products, services, platforms and business models in a controlled environment. Its use gives the regulatory authorities time to adapt legislation.