IOTA has announced the creation of its Ecosystem DLT Foundation in Abu Dhabi, the United Arab Emirates. This initiative requires an investment of over $100 million in IOTA tokens.
The new project represents a strategic move to enhance the IOTA protocol's presence in the increasingly crypto-friendly MENA region. It seeks to strengthen the IOTA network while working closely with regulatory bodies.
Setting stage for DLT advancements
The IOTA Ecosystem DLT Foundation is poised to substantially contribute to the burgeoning crypto sector in the MENA region.
With a commitment to seed the foundation with a substantial sum of IOTA tokens over the next four years, the foundation is expected to promote the IOTA ecosystem and fast-track the protocol's growth.
The partnership with the Abu Dhabi Global Market (ADGM), an international financial center for local, regional and international institutions, is expected to provide a conducive backdrop for collaborations aimed at tokenizing real-world assets.
Dominik Schiener of the IOTA Foundation explained that their work with ADGM and UAE officials is not just about growing bigger: it is also about creating better rules for the crypto world and getting people from different backgrounds involved in how they make and manage their technology.
UAE's embrace of cryptocurrency
The United Arab Emirates has been actively cultivating a crypto-friendly ecosystem, exemplified by several key developments.
Beyond the recent endorsement of XRP by Dubai's regulators, the UAE has witnessed a series of initiatives that show its commitment to supporting the growth of virtual assets.
Examples include the Dubai Multi Commodities Centre (DMCC) Crypto Centre, designed to foster crypto and blockchain businesses, and the Abu Dhabi Securities Exchange (ADX), exploring blockchain for asset settlements.