Six business banks from Saudi Arabia and the United Arab Emirates (UAE) have joined a digital foreign money undertaking, main Saudi Arabian monetary information portal Argaam reviews on Feb. 5
Referring to feedback from the UAE central financial institution (UAECB), Agraam notes that the aim of the undertaking is to make use of cryptocurrency for financing transactions between Saudi Arabia and the UAE.
The information about creating a cryptocurrency by the 2 aforementioned international locations got here in December 2018, when UAECB and Saudi Arabian Financial Authority (SAMA) had introduced that the international locations meant to make use of cryptocurrency for cross-border transactions.
In the present day’s information underlines that six unnamed business banks will be a part of the interbank digital foreign money undertaking, dubbed Aber, with a scheduled implementation throughout subsequent 12 months. The article additionally provides:
“The foreign money’s official issuance is conditional on the outcomes of the “proof-of-concept” stage. The Saudi Arabian Financial Authority (SAMA) and the UAECB will resolve on the feasibility of the foreign money’s sensible functions.”
Final month, Saudi Arabia and the UAE made an announcement that the 2 international locations have agreed to cooperate on joint cryptocurrency improvement focused to raised perceive the event of blockchain expertise, Cointelegraph wrote on Jan. 20.
As Cointelegraph reported again in October, the Dubai authorities additionally intends to make use of a digital foreign money backed by the state and pegged to the UAE’s fiat foreign money, the dirham, for utilities funds.