According to PANews, the Abu Dhabi Global Market's Financial Services Regulatory Authority (FSRA) has announced immediate revisions to its digital asset regulatory framework. These changes follow extensive industry engagement and feedback collection on Consultation Paper No. 11 of 2024.
Key amendments include streamlining the process for virtual assets (VAs) to become recognized within the Abu Dhabi Global Market (ADGM) and establishing appropriate capital requirements and fee structures for authorized individuals conducting regulated activities. Additionally, specific product intervention powers for virtual assets have been introduced, along with rules prohibiting the use of privacy tokens and algorithmic stablecoins within ADGM.
The revisions also expand the scope of investments for venture capital funds, reflecting a broader approach to risk management and investment opportunities in the digital asset sector.