Abu Dhabi Global Market partners with Solana Foundation

The parties will engage in developments in the field of blockchain technologies

09.02.2024 - 13:40

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3 min

What’s new? Abu Dhabi Global Market (ADGM) has signed a memorandum of understanding with Solana Foundation, a non-profit organization established to support the blockchain of the same name. The parties have not yet announced specific steps in the collaboration, but it is known that they will engage in developments in distributed ledger technology (DLT) to develop existing projects within the ADGM.

Press release

What else is known? Solana Foundation CEO Lily Liu expects the partnership with ADGM to attract startups to Abu Dhabi, the UAE, and the Middle East region as a whole. ADGM senior executive Hamad Al Mazrouei noted that the center aims to be a pioneer in innovative technology while complying with regulatory requirements to ensure sustainability.

Last November, ADGM introduced the DLT Foundations Regulations, a regulatory framework governing blockchain funds as well as Web 3.0- and decentralized autonomous organizations (DAOs). These organizations provide financial and other forms of support to blockchain projects without directly participating in them. Solana Foundation also belongs to this type of organization.

ADGM in 2018 became the first jurisdiction in the world to introduce a holistic regulatory framework to govern digital assets. In 2022, it equated NFTs with cryptocurrencies and granted licenses to crypto exchanges Binance and Kraken. For six years, the new CEO of global Binance, Richard Teng, has served as one of the ADGM’s advisors. Binance founder Changpeng Zhao also resides in Abu Dhabi.

Stablecoin transaction volume on the Solana network grew 28 times in a year

By January 1, the figure was $322,3 billion

Last May, leading US miner Marathon Digital set up a company within the ADGM to operate local farms totaling 250MW. In November, the ADGM license to issue stablecoins was granted to the payment company PayPal.

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