Regulation
Qatar promises cryptocurrency regulation by end of 2024
Qatar has announced that it is moving towards establishing a regulatory framework for digital assets, signaling a shift from its previous strict stance on cryptocurrencies.
The country banned bitcoin trading in 2018, but recent moves suggest a cautious review of that policy. Last year, Qatari financial regulators proposed a framework to regulate tangible asset-backed investment tokens. The Qatar Financial Centre Regulatory Authority (QFCRA) and the Qatar Financial Centre Authority (QFCA) developed the framework collaboratively, aligning with Qatar’s digital economy strategy.
Seeking industry feedback to refine the regulations, final legislation is expected in the fourth quarter of 2024. The QFC has also launched a Digital Asset Lab to foster innovation in the financial and digital asset sectors.
QFCA officials said the Digital Asset Framework represents a crucial step in the journey towards fostering innovation and growth within Qatar’s financial landscape. The lab provides a collaborative space for startups and researchers to explore solutions related to digital assets and blockchain.
Qatar’s central bank has completed building the foundations of its digital currency and plans to test it with local and international banks.
Other recent updates from Qatar
In July 2024, NPCI International Payments Limited (NIPL) signed an agreement NIPL and National Bank of Qatar have entered into a partnership agreement to launch QR code-based UPI payments across the country. Under this collaboration, Indian tourists and travellers can scan QR codes to make UPI payments at several retail outlets as well as hotels, duty-free shops and more in Qatar. NIPL highlighted that the initiative aims to benefit Indian tourists and travellers visiting Qatar. The facility is expected to enable users to make UPI payments at retail stores, tourist attractions, recreational sites, duty-free shops and hotels. NIPL also highlighted that using UPI as a payment method will reduce the time of travellers as it is faster and more convenient than traditional options. However, it is important to note that UPI can only be used by those who have an account with an Indian bank.