Saudi digital currency ban to a few banks

Central banks of the UAE and Saudi Arabia on Tuesday declared that a digital money that the 2 nations are working on will probably be limited to a limited number of banks at the first phase.

Both apex banks said in an announcement that among the goals of starting the common electronic money job'Aber' is to be used in financial obligations between the two nations through Blockchain and dispersed ledger technologies.

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The usage of this money will be limited to a limited number of banks in each country. In the event that no technical hurdles are encountered, legal and economic requirements for future applications will be considered," read the statement issued on Tuesday.

The pilot project is directed at analyzing the technical application of modern technology and determining their influence on the decrease in remittance expenses and evaluation of technical risks and how to manage them.

The central banks did not define when the job would be started.

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Central banks of several nations have begun pilot projects to explore the measurements of Blockchain and dispersed ledger technologies at the flow of electronic currencies.

The fundamental bank-based digital money is likely to create cross-border fiscal transactions more secure and fiscally effective.

The UAE and Saudi Arabia expect their pilot projects may benefit everybody locally and globally.

A high number of businesses from the UAE are embracing new technologies like Blockchain, Artificial Intelligence, Internet of Things, etc., in keeping with the Industrial Revolution which is reshaping governments and corporates across the globe.

The Abu Dhabi Global Market was working on a frame to modulate spot crypto strength actions.

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