Ras Al Khaimah, one of the United Arab Emirates’ seven Emirates, is taking a progressive step towards economic diversification with the launch of the RAK Digital Assets Oasis (RAK DAO). This free zone is exclusively dedicated to companies working with digital and virtual assets, positioning the emirate as a forward-thinking center for emerging technologies.
Unique Offerings for Entrepreneurs:
RAK DAO is designed as a purpose-built ecosystem to support companies involved in cutting-edge technologies like the metaverse, blockchain, utility tokens, virtual asset wallets, nonfungible tokens (NFTs), decentralized autonomous organizations (DAOs), and decentralized applications (DApps).
Entrepreneurs operating within this free zone will enjoy 100% ownership of their companies. Unique tax schemes and regulatory frameworks are in the offering. While initially focused on non-financial activities, RAK DAO is open to introducing financial activities in the future, demonstrating its commitment to innovation and regulatory compliance.
UAE as a Crypto and Web3 Attraction:
This move by Ras Al Khaimah complements ongoing efforts across the UAE to create a welcoming regulatory environment for crypto and Web3 businesses. Dubai, for instance, introduced a virtual assets law and established the Virtual Asset Regulatory Authority to ensure investor safety and industry standards.
Other jurisdictions within the UAE, like the Abu Dhabi Global Market (ADGM) and the Dubai International Financial Centre (DIFC), offer attractive free zones for digital asset ventures. Established companies like Binance, Crypto.com, and OKX have secured operational licenses in Dubai.
RAK DAO is another stride in the UAE’s broader strategy to attract digital asset and Web3 companies, further solidifying the country’s status as a hub for financial technology and innovation. This initiative creates a new avenue for entrepreneurs and industry stakeholders to explore and thrive in Web3.
The Rise of Blockchain in the UAE:
The UAE is advancing in Web3 technology. Dubai, for example, is paving the way for advanced digital experiences in retail and entertainment through its Mall of the Metaverse, a virtual project in partnership with Decentraland. Furthermore, the country’s national airline, Etihad Airways, is entering the world of NFTs with the release of its Mission Impossible Livery tokens, showcasing a proactive step towards using blockchain for enhanced customer engagement.