The United Arab Emirates, one of the most most-advanced countries in the Middle East, is starting another revolution towards digitization, especially in its economy and business.
Home to Burj Khalifa, the tallest vertical structure in the world, UAE is unveiling a blockchain-based Know Your Customer (KYC) platform. This podium will be used as a nationwide system for witching verified information for consumers.
Dubai’s Department of Economic Development, or DED, and state-run bank Emirates NBD are rolling out their so-called UAE KYC Blockchain Platform.
Strong Support Among Local Companies
Initiated by DED or Dubai’s Department of Economic Development, this project was initially revealed in February 2020.
Its primary feature is designed to crack codes for digital customer onboarding. Extended services also include instant bank account functions, and verified KYC data sharing from licensing authorities to financial institutions, vice versa.
After almost six months, the DED and Emirates NBD claimed that the platform has over 120 companies already onboarded by the bank, all with active bank accounts.
Reports have told that Emirates NBD a pioneer bank to go live on the platform at launch.
It will primarily work with small and medium-sized enterprises, empowering them so they can have a smooth transition of onboarding.
Using this as well, they can instantly open bank accounts through Emirates NBD’s E20 Digital Business Bank.
Its first beta-testing stage, the Dubai Economy transferred all active trade licenses onto the blockchain platform, with a total of 40% of all active trade licences in the UAE.
Principal local authorities support the new project like the Central Bank of UAE and the government-backed innovation office, Smart Dubai.
Also telling their plans, the platform will soon feature a vast number of other financial institutions RakBank, Commercial Bank of Dubai, Abu Dhabi Commercial and HSBC.
One of the company’s executives identified this early welcome UAE KYC Blockchain Platform in line with the government’s call for digitization. Its paperless scheme also gave way for more scaling in terms of sustainability for the project.
Over the past few years, UAE has emerged as a significant global jurisdiction in recent years with a welcoming stance towards the blockchain and crypto industries.
Early this 2020, it has set a record as the Abu Dhabi Islamic Bank was hailed as the first to implement trade finance distribution transactions with blockchain technology as its means. In various reports, it is set to expand for more crypto transactions in the latter part of the year.