Hong Kong, UAE Central Banks Coordinate on Crypto Regulations
The central banks of Hong Kong and the United Arab Emirates are strengthening financial cooperation and working on regulating virtual assets. Cross-border trade settlements and financial infrastructure were discussed during a recent bilateral meeting, with a focus on blockchain technology. This could lead to the use of central bank digital currencies in their cross-border transactions. The UAE is already planning to launch a digital dirham soon, while HK is piloting an electronic form of the Hong Kong dollar. Both regions have been working on building a new blockchain that supports multiple CBDCs to tackle the limitations of today's payment systems.