The Saudi Arabian central bank has reportedly appointed
Mohsen Al Zahrani as the lead of the bank’s virtual assets and digital
currency project. The emergence of the United Arab Emirates (UAE) as the
regional crypto hub is believed to have forced authorities in Saudi
Arabia to consider formally regulating cryptocurrencies.
Saudi Arabia’s Changing Position on Crypto
According to a report,
the Saudi Arabian central bank has selected Mohsen Al Zahrani to lead
its virtual assets and digital currency program. The appointment of Al
Zahrani, according to the report, signals that the country which banned cryptocurrencies just over four years ago has changed its stance.
The appointment also comes at a time when Saudi residents, just like
their peers in the region, are embracing cryptocurrencies. Further, as reported
by Bitcoin.com News in April, a study found that 54% of Saudi residents
not only saw cryptocurrency as an investment asset, but believed it
should be used as currency. Similarly, another study found that 14% of
Saudi residents were current crypto traders or that they had traded in the previous six months.
The UAE Factor
Besides Saudi residents’ adoption of cryptocurrencies, a Bloomberg
report citing unnamed sources said authorities in Riyadh may have been
forced to contemplate formally regulating cryptocurrencies by the
neighboring United Arab Emirates (UAE).
The UAE has emerged as the leading destination for crypto and
blockchain startups that want to operate in the region. Several global
cryptocurrency exchange platforms such as Binance and FTX have been granted
licenses allowing them to operate in the country. According to the
report, such factors may have played a part in prompting Saudi
authorities to consider formally regulating cryptocurrencies.
In addition to Al Zahrani’s appointment, the sources cited in the
Bloomberg report suggested that Saudi Arabia has a team working with
unnamed global crypto firms regarding the development of future
cryptocurrency regulations.
source link : https://news.bitcoin.com/report-saudi-arabias-central-bank-hires-virtual-assets-and-digital-currency-program-lead/
