The Registration Authority (RA) of Abu Dhabi Global Market (ADGM) has issued guidance confirming that crypto mining is a licensed business activity, rather than a financial service.
The rules apply to companies mining within ADGM and firms operating mining activities from the financial centre. Each business must obtain a dedicated licence under activity code 7230. The guidance covers Proof-of-Work, Proof-of-Stake and future mining technologies.
Companies can complete a self-assessment before applying to determine whether their activities qualify as mining or fall under the jurisdiction of ADGM’s Financial Services Regulatory Authority.
Licensed firms must disclose their corporate structure and ownership, as well as the wallet addresses receiving mining rewards. The RA said those wallet details will remain confidential.
Supervision will be risk-based and scaled to a company’s size. For ADGM-based headquarters overseeing mining operations in other countries, the authority said it will apply reasonable oversight.
Rashed Al Blooshi, CEO of the RA, said the guidance provides operators with a clear licensing route and defines the boundary between commercial licensing and financial regulation.
The guidance is the first phase of the RA’s work on crypto mining. A second phase will involve developing a broader regulatory framework following further market consultation.
Source: Fintech News UAE
