The Dubai Multi Commodities Centre (DMCC) freezone signed an agreement with CV VC and CV Labs to launch Crypto Valley, the world's largest ecosystem for cryptographic, blockchain and distributed ledger technologies in the UAE.
Based in Dubai, the Crypto Valley will support early-stage startups through incubators, offer co-working facilities, innovation services for corporate clients, training in blockchain and entrepreneurship, as well as mentoring and funding.
The agreement to build the ecosystem out of DMCC's hub in Jumeirah Lake Towers was signed on the sidelines of the World Economic Forum in Davos, Switzerland.
“DMCC is delighted to sign this agreement with CV VC, and launch the Crypto Valley in Dubai, at the very heart of Dubai’s leading business district,” said DMCC executive chairman and chief executive Ahmed Bin Sulayem.
The partners will collaborate on a comprehensive blockchain strategy aligned with the Dubai Blockchain Strategy.
Companies in Dubai have increasingly adopted blockchain technology in their operations.
Dubai's biggest-listed property developer announced plans last year to launch a blockchain-based referral and loyalty platform. Customers can use their tokens at Emaar’s facilities, such as hotels, malls and e-commerce — or trade them with other users.
Blockchain — the technology behind it — is a digital chain of transactions linked using cryptography, a mechanism for secure communications, on an open ledger. The database is a real-time library of records that are difficult to tamper with as each change creates a new record.
Spending on blockchain in the Middle East and Africa has been growing at a compound rate of more than 70 per cent since 2016, and is set to reach $307 million by 2021, according to the US-based International Data Corporation.