Arranging deals and holding assets
The license covers two core activities. Coinbase can now arrange investment deals involving tokenized securities, meaning it can help connect buyers and sellers of these digital assets. It can also hold those assets in custody for clients, acting as a secure storage provider.
Tokenized securities are a growing corner of the crypto market, though the license itself doesn't specify which types of assets Coinbase will handle. The approval from the FSRA gives the exchange a regulated entry point into Abu Dhabi's financial market.
Building a tokenization hub
Coinbase says it will establish a tokenization hub in Abu Dhabi as part of this initiative. The company hasn't detailed what the hub will do beyond the license's scope, or when it will open. The hub is expected to serve as the base for Coinbase's tokenized securities business in the region.
Abu Dhabi has been working to
