According to Cointelegraph: The Abu Dhabi Global Market (ADGM) Registration Authority has unveiled comprehensive regulations designed for Web3 organizations, marking a pioneering move in the global blockchain regulatory landscape. The free financial zone is already a focal point of cryptocurrency activity.
The new Distributed Ledger Technology (DLT) Foundations Regulations will govern operations of blockchain foundations, Web3 entities, decentralized autonomous organizations (DAOs), and traditional establishments embracing DLT.
Under the regulations, a "DLT Foundation" can be established by submitting a signed charter that includes a description of the initial assets, governance and token issuance details - if any, the organization's whitepaper, tokenomics paper, and a link to a DLT Framework. The foundation must disclose key figures, which are kept confidential. The foundation must end its name with "DLT Foundation" and should form a council of between two and 16 members for administrative purposes. It's stipulated that a foundation cannot conduct activities licensable by the ADGM Financial Services Regulatory Authority.
The regulations, which became public on November 2, specify initial registration application fees totaling $1,470.
Since its inception in 2015, the ADGM has been operating under English law and introduced cryptocurrency regulations in 2018. The DLT Foundations Regulations form part of ADGM's ongoing strategy to uplift its profile in the blockchain and digital assets sector. They are aimed at enhancing transparency and efficiency, setting global benchmarks in blockchain and Web3 landscape, according to ADGM chairman Ahmed Jasim Al Zaabi.
In related news, earlier this year, Hub71, a project based in ADGM, initiated a $2 billion project known as Hub71+ Digital Assets to foster Web3 growth. With the First Abu Dhabi Bank also part of this initiative, Abu Dhabi and the ADGM host a range of crypto service providers and foundations.
