The United Arab Emirates (UAE) and Saudi Arabia have announced an agreement to cooperate in the creation of a cryptocurrency, the official UAE news agency reported on January 19.
According to the report, the Executive Committee of the United Arab Emirates Coordinating Council held a meeting in the capital of the United Arab Emirates Abu Dhabi, with 16 members in total from both countries, to discuss membership initiatives in the Resolution Strategy.
The resolution strategy is composed of seven initiatives, including civil aviation, the training of young people on financial awareness and the development of a cross-border digital currency. According to the article, the cryptocurrency "will be strictly aimed at banks in an experimental phase with the aim of better understanding the implications of blockchain technology and facilitating cross-border payments".
The joint criptovaluta project will also cover the effect of a central currency on financial policies.
The initiative aims to protect customers' interest, create standards for technology and consider the risks of cybersecurity while determining the impact of central currencies on monetary policies, reports the news agency of the Emirates.
Cointelegraph reported last December that the UAE central bank was collaborating with the Saudi monetary authority to issue a cryptocurrency accepted in cross-border transactions between the two countries.
During the same month, Cointelegraph reported that the United Arab Emirates are trying to join the list of the main destinations for blockchain activities in 2019 due to its new cryptic legislation.