Qatar launches more comprehensive digital asset regulatory framework to attract more startups

Qatar has officially introduced a comprehensive regulatory framework to govern the rapidly growing digital asset market.

The 2024 QFC Digital Assets Framework, announced by the Qatar Financial Centre (QFC) and Qatar Financial Centre Regulatory Authority (QFCRA), sets out the legal foundation for managing digital assets, including tokenisation and recognising property rights associated with tokens.

The framework also addresses regulations for custody, transfer, and exchange, as well as the legal recognition of smart contracts. By implementing these measures, Qatar aims to create a robust and secure environment for digital assets while supporting its broader digital transformation goals.

In developing the framework, Qatar's regulatory bodies sought input from industry professionals. A consultation process involved 37 organisations from the financial, technology, and legal sectors, both locally and internationally.

This collaboration ensured that the framework was practical and aligned with the needs of the industry.

The deadline for feedback was set for January 2, 2024, signalling an ongoing commitment to refining the regulations.

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QFC’s collaboration with startups shapes new digital asset landscape

Since the launch of the QFC Digital Assets Lab in October 2023, over twenty startups and fintech companies have participated in shaping Qatar's digital asset landscape. These companies are innovating and testing new digital asset products and services, which aligns with the development of the QFC Digital Assets Framework.

The active involvement of industry players underscores Qatar's commitment to fostering a dynamic and collaborative digital ecosystem.

Qatar digital asset strategy adjustment

The introduction of the 2024 Digital Assets Regulations marks a significant step in advancing Qatar’s Third Financial Sector Strategy and its broader National Vision 2030.

According to Qatar Central Bank Governor Sheikh Bandar bin Mohammed bin Saoud Al Thani, this framework opens up substantial opportunities and strengthens Qatar's regulatory environment.