As part of this development, the IOTA Ecosystem DLT Foundation shall receive an initial endowment of over $100 million in IOTA tokens over the span of four years.
In a major breakthrough, the IOTA Ecosystem DLT Foundation registered under the regulatory framework for blockchain foundations in Abu Dhabi on Wednesday, November 29.
The IOTA Ecosystem DLT Foundation asserts that it is the “first” foundation securing registration under the DLT Foundations Regulations. It is a regulatory framework established by Abu Dhabi Global Market (ADGM), the city’s financial watchdog.
Furthermore, IOTA expressed anticipation for a collaborative effort with the authorities of Abu Dhabi Global Market (ADGM) to advance the regulatory landscape, aiming to bridge the gap between the physical and digital worlds. Noting ADGM’s reputation for having a progressive regulatory framework, the partnership will also play a significant role in integrating institutional investors and assets into the digital ecosystem.
To facilitate the initiatives, the IOTA Ecosystem DLT Foundation shall receive an initial endowment of over $100 million in IOTA tokens, with a vesting period spanning four years. This funding shall contribute to nurturing the IOTA ecosystem and expediting the growth of the IOTA protocol.
Adhering to its community-driven principles, the foundation will also actively seek partnerships in the region to propel the adoption of IOTA and its staging network, Shimmer, across diverse sectors. The collaborative efforts include engagements with institutional investors, government bodies, and academic institutions, with a focus on tokenizing real-world assets and integrating them onto the blockchain.
This strategic move aims to bring billions of dollars into the virtual assets space of the United Arab Emirates. Besides, IOTA is also working to build a strong crypto community in the UAE within the ADGM’s ecosystem.
IOTA Price Shoots 40%
As soon as the news came, the price of IOTA’s native cryptocurrency shot up a staggering 40% making a high of $0.28. This is the first time since April 2023 that the IOTA price has surged past $0.25. Speaking on the development, Dominik Schiener, Co-Founder and Chairman of the IOTA Foundation said:
“The IOTA Foundation’s support from ADGM and our partnership with UAE authorities is about more than global expansion. It’s about ushering in a new era of regulatory synergy in the crypto markets. We want to ensure that we take the right steps toward digital autonomy for everyone, and that means making sure a diversity of communities take an active role in shaping the Foundation’s technology and governance.”
IOTA, in collaboration with Abu Dhabi Global Market (ADGM), sets forth on an exciting venture with the aim of enabling a broad spectrum of communities to play an active role in shaping the future of IOTA and distributed ledger technology (DLT)/blockchain. Emphasizing their enthusiasm, IOTA expresses anticipation for ushering in a new era of regulatory collaboration within cryptocurrency markets.