Qatar has taken a big step forward in the digital asset market with the launch of a new regulatory framework. The Qatar Financial Centre (QFC) and Qatar Financial Centre Regulatory Authority (QFCRA) announced the 2024 QFC Digital Assets Framework, aimed at providing clear guidelines for managing and supervising digital assets in the country.
The framework covers various aspects of digital assets, including tokenization, property rights in tokens, custody, transfer, exchange, and legal recognition of smart contracts. It was developed in collaboration with industry professionals and businesses, who provided feedback to enhance its structure, content, and practicality. The deadline for comments on the framework was January 2, 2024.
QFC’s Collaboration with Startups Shapes New Digital Asset Landscape
Since the establishment of the QFC Digital Assets Lab in October 2023, over twenty startups and fintech companies have joined the initiative to innovate, test, and launch digital asset products and services. The collaboration between these companies and the QFC highlights the industry's active involvement in shaping the regulatory framework.
With the introduction of the QFC Digital Assets Framework 2024, companies can now apply for a license to engage in token service provider activities, further enhancing the digital asset landscape in Qatar.
“Launching the 2024 Digital Assets Regulations marks a significant milestone in our journey towards realizing the Third Financial Sector Strategy,” said Qatar Central Bank Governor Sheikh Bandar bin Mohammed bin Saoud Al Thani. He emphasized that the framework creates substantial opportunities and strengthens the regulatory environment in the financial sector, aligning with Qatar's digital transformation objectives and supporting the Third National Development Strategy as part of the Qatar National Vision 2030.
Qatar Confirms Timely Completion of Digital Assets Framework
Earlier this year, Henk Jan Hoogendoorn, Chief of Financial Services Sector at the Qatar Financial Centre (QFC), stated that Qatar's digital assets framework was on track for completion and implementation by the fourth quarter of the year. This news comes after the central bank finalized the development of its central bank digital currency (CBDC) infrastructure, showcasing Qatar's commitment to embracing digital assets and blockchain technology.
