UAE free zone teams up with HBAR Foundation to support Web3 startups

The collaboration will give startups access to a grant program and support in areas such as technology, marketing and business development.

RAK Digital Assets Oasis (RAK DAO), a free zone in the United Arab Emirates (UAE) dedicated to crypto companies, has signed a memorandum of understanding (MOU) with the HBAR Foundation to support its ecosystem members through a grant program and by providing assistance in leveraging the Hedera blockchain. 

In an announcement sent to Cointelegraph, His Highness Sheikh Mohammed bin Humaid bin Abdullah Al Qasimi, the chairman of RAK DAO, said that the collaboration with HBAR Foundation will drive sustainable growth for the ecosystem and will shape a future where the UAE emirate of Ras Al Khaimah will emerge as a “global leader in the digital economy.” He said:

“By creating and enabling the world’s first licensed Web3 ecosystem, we are facilitating the seamless exchange of information, connecting businesses across sectors, and paving the way for synergistic relationships to flourish.”

According to the announcement, the collaboration will give startups access to a comprehensive grant program and specialized support in the areas of technology, marketing and business development. This also aims to scale adoption for new ideas in the Web3 space. The two organizations will also create other initiatives including startup pitching sessions, and launch joint projects such as venture studios or accelerators.

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RAK DAO is a part of the UAE’s efforts to support crypto businesses by offering a free-trade zone in the country that’s dedicated to Web3. Free zones within the UAE allow entrepreneurs to have 100% ownership of their business within the country. These trade zones also often have their own tax schemes and regulatory frameworks.

On Feb. 28, the emirates of Ras Al Khaimah announced that it will support emerging technologies such as the metaverse, blockchain, nonfungible tokens (NFTs), decentralized autonomous organizations (DAOs), decentralized applications (DApps) and other crypto-related businesses through RAK DAO.

The UAE has been one of the jurisdictions to show support for the crypto space. The country’s regulatory approach to crypto has attracted the attention of global crypto businesses like Binance, Coinbase and Gemini amid regulatory uncertainty in the United States.

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