The United Arab Emirates (UAE) has unveiled a new governance framework designed to ensure the responsible development of the metaverse.
Omar Sultan Al Olama, the UAE Minister of State for Digital Economy, A.I., and Remote Work Applications, has announced the release of a white paper titled the “Responsible Metaverse Self-Governance Framework.” This collaborative effort with the Department of Economics in Dubai aims to promote the growth of the metaverse economy while addressing challenges and leveraging opportunities.
This UAE initiative establishes a set of core principles and best practices for governing the metaverse, encompassing aspects such as data privacy, content moderation, and prevention of financial crimes.
By adopting a proactive governance strategy, the UAE aspires to stimulate innovation while safeguarding the interests of users and businesses within the rapidly expanding metaverse landscape.
Changpeng Zhao, CEO of Binance, has welcomed this development, indicating the cryptocurrency industry’s endorsement of the UAE’s regulatory perspective. Binance has been actively increasing its footprint in the United Arab Emirates and views the nation as a crucial operational center.
Binance’s Dubai subsidiary, known as Binance FZE, has successfully obtained a Minimum Viable Product (MVP) license from Dubai’s Virtual Asset Regulatory Authority (VARA).
This license permits Binance to offer cryptocurrency exchange and virtual asset broker-dealer services in Dubai.
The UAE’s well-defined crypto regulations have made the region appealing to exchanges like Binance, particularly in light of the legal challenges the company is facing in the United States, including disputes with the Securities and Exchange Commission and the Commodities Futures Trading Commission.