Palmex has become the first digital asset exchange in the Middle East and North Africa region (MENA) to receive a regulatory sandbox license, as part of an ongoing fintech development programme.
In a press release following this announcement CEO and founder of Arabian Chain, Mohammed Alsehli, hailed this achievement as a breakthrough for the MENA region.
“The region has been eagerly waiting for a regulator-approved platform that makes it possible for them to buy and sell in a secure environment. Palmex is set to play a key role in disrupting the traditional financial system as we continue to fuel the region’s innovation-driven economy and the global blockchain industry.”
The newly permitted license which comes into effect on July 15th, will allow the Palmex Exchange to test its platform and services in a controlled environment with a live user base. During this trial time, Palmex developers and the CBB will have time to revise the regulatory framework surrounding the operation of a digital asset exchange, as well as make any necessary changes to the exchange to ensure the platform is secure for commercial use. Inside the sandbox, Palmex will be governed by CBB regulations which include typical security requirements such as KYC and AML user checks and additional Countering Financing Terrorist measures.
In a press report following this announcement, Alsehli, accepted the importance of regulations in this new technological space, commenting that
“When we launched Palmex, we did so with the conviction that regulatory status is fundamental to our future and the future of the industry.”
“Our team has put in a lot of time and resources into working with regulators to ensure we are compliant, and we are excited to give our users an added level of confidence in using Palmex with this extra layer of legitimacy. ArabianChain will start with a limited number of select users to test and optimize the process and then expand to the rest.”
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