Saudi-based investment manager Musharaka Capital has partnered with Securrency, a blockchain technology provider, to develop a regulated platform for issuing digital securities.
The chief executive of Musharaka Capital, Ibrahim Fahad Al-Assaf, has hailed the move as a ”fintech leap” adding that “such projects were not feasible a few years ago” due to a lack of consumer demand.
“However, as the economy shifts to digital trading and consumer trends develop, we are introducing developments that didn’t exist in the Saudi market,” said Al-Assaf.
The kingdom has been relatively conservative in approving digital developments in financial services.
It was not until August 2019 that the securities regulator, the Saudi Capital Markets Authority, allowed the first pilot of a robo-advisor service.
However, the launch of the kingdom’s economic reform plan Vision 2030, has placed emphasis on the greater use of digital technology.
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