Mubadala Investment Capital Abu Dhabi based sovereign wealth fund has made an undisclosed investment in a crypto-based firm, MidChains. While the two firms were in talks for over a year, it’s now that Mubadala the world’s thirteenth largest sovereign wealth fund is injecting funds into MidChains. At the center of reaching the deal was Mubadala ventures arm.
Although the funds injected into MidChians wasn’t disclosed, per the official publication, the investment is a seven-figure amount. Although Mubadala is new as an investor in the crypto space, the press release depicts an investment firm that’s ready to see MidChains succeed in the crypto space.
Furthermore, Mubadala believes the crypto space is a space to watch out, and for it, MidChains is the firm to walk with through this space. Moreover, they are doing so by supporting a firm based in their locale.
Mubadala has always been at the leading front in the technology space. However, it is expanding its excellence into the crypto space by investing in us. Besides making it official through the investment, they have been supportive of our project. Furthermore, it’s exciting to see them support a local project.
Mohammad Al Hashemi, co-founder of MidChains.
Exchange to Be Launched Later in 2019
Although MidChains got approval from the ADGM’s Financial Services Regulatory Authority in May 2019, its crypto exchange will go live later on in 2019. While the UAE doesn’t have regulations for the crypto sector, the Abu Dhabi Global Market (ADGM) is in place to take care of the regulatory framework. Through ADGM, crypto firms the likes of MidChains get approval to run their exchanges.
Apart from launching their exchange, the approval from the ADGM also grants MidChains the power to provide custody services. Its custody services include taking care of customer’s crypto transactions, settle the orders, and also storing crypto.
Besides MidChains, BitOasis and Arabian Bourse ABX also have the legal approval from the ADGM to run their crypto-based operations in Abu Dhabi. As more and more firms get their permits in order, the latter shows the uncertainty about making investments in the crypto space is slowly fading away. While the three firms in the UAE shows developments been made in the crypto space, Goldman Sachs and JP Morgan represent firms entering the crypto space globally.
