Crypto License Obtained By Dubai Gold Trader Regal RA DMCC

Blockchain, Investing, News | February 15, 2018 By:

The Dubai Multi Commodities Center (DMCC) has given gold trader Regal RA the first cryptocurrency trading license in the Middle East.

According to the DMCC, the license is for proprietary trading in crypto-commodities only. Initial coin offerings (ICO) and establishment of an exchange are not permitted under the license.

Regal RA is a subsidiary of Regal Assets, a company that engaged in precious metal industry offering gold coins and other valuable coins.

“DMCC is the only Free Zone in the Middle East to have a government-issued license to trade in crypto-commodities and offers unparalleled full market value insurance on such investments,” said Gerhard Schubert, Chairman of the Board for Regal Assets. “We are delighted to make this bold step forward to engage with the crypto-commodity industry and offer all those operating within it a safe and secure environment for their investment.”

The crypto trading license will allow the company to store bitcoin, ethereum and other alternatives in a vault located in Dubai’s Almas Tower. Regal RA claims that the vault is one of the most secure precious metal facilities in the world and can store all crypto investments in a physical form. The vault is not connected to a network and physical devices are fully insured for the crypto-commodities market value against theft, hacking or natural disaster.

“Investors in cryptocurrencies are reluctant to store large amounts of the coins in online wallets and exchanges due to the risk of hacking, identify theft, and malware,” said Regal Assets CEO Tyler Gallagher. “We have developed what we believe is the number one most secure way of investing in bitcoin, ethereum and other crypto-commodities.”

The company’s security process involves generating offline blocks, using the specific cryptocurrency’s blockchain derived algorithm. The key is then printed offline within the secured environment on a specialized wallet and placed in deep cold storage in the DMCC vault.

Ksenia Kiseleva, manager of the Regal Assets’ Dubai office, said the company is also working on developing a fully regulated and compliant online trading platform for cryptocurrencies for the near future. She added that they will apply for trading licenses in other countries around the world.

“We look at them as a commodity, not as a method of payment,” Kiseleva said. “There is growing demand in the UAE and worldwide.”