Regulation
Qatar promises cryptocurrency regulations by end of 2024
Qatar has announced that it is moving toward establishing a regulatory framework for digital assets, marking a shift from its previous restrictive stance on cryptocurrencies.
The country banned Bitcoin trading in 2018, but recent actions suggest a cautious reconsideration of this policy. Last year, Qatar’s financial regulators proposed a framework to regulate investment tokens backed by tangible assets. The Qatar Financial Centre Regulatory Authority (QFCRA) and the QFC Authority (QFCA) jointly developed the framework, aligning with Qatar’s digital economy strategy.
Seeking industry feedback to refine the regulations, final legislation is expected in Q4 2024. The QFC has also launched a Digital Assets Lab to foster innovation in the financial and digital asset sectors.
QFCA officials said the Digital Asset Framework is a key milestone in the journey to foster innovation and growth in Qatar’s financial landscape. The lab provides a collaborative space for startups and researchers to explore solutions related to digital assets and blockchain.
Qatar’s central bank has finished laying the groundwork for its digital currency and plans to test it with local and international banks.
More recent updates from Qatar
In July 2024, NPCI International Payments Limited (NIPL) signed an agreement with Qatar National Bank to launch QR code-based UPI payments across the country. Through this collaboration, tourists from India and travellers can scan QR codes to make UPI payments at multiple retail touchpoints as well as hotels, duty-free shops and more in Qatar. NIPL highlighted that the initiative is aimed at benefiting Indian tourists and travellers visiting Qatar. The facility is set to allow users to make UPI payments at retail stores, tourist attractions, leisure sites, duty-free shops and hotels. NIPL also highlighted that using UPI as a payment method will reduce the time of travellers as it is faster and more convenient than traditional options. However, it is important to note that UPI can only be used by individuals who have an account with a bank in India.