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Abu Dhabi Global Market has granted GFO-X Group in-principle approval to set up a digital asset exchange and clearing house, strengthening the emirate’s position as a center for regulated crypto markets.

Abu Dhabi Opens Door for GFO-X

Global Futures and Options Abu Dhabi Exchange Limited and GFO-X Abu Dhabi CCP Limited received approval from the Financial Services Regulatory Authority of ADGM to operate as a Recognized Investment Exchange and a Recognized Clearing House. The companies are targeting a 2026 launch.

Arnab Sen, the CEO of GFO-X, said “This approval is a pivotal step in our journey to build a globally interconnected, regulated marketplace for digital asset derivatives and complementary products.”

“ADGM’s regulatory sophistication and institutional-grade infrastructure make it an ideal jurisdiction for our next phase of growth to support digital assets and the benefits of collateral mobility.”

The approval extends GFO-X’s operations beyond the UK, where it runs the first FCA-authorized, centrally cleared digital asset derivatives Multilateral Trading Facility, and its technology base in Hong Kong.

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According to the company, the Abu Dhabi venue operates around the clock and allows digital assets to be used as margin within a centrally cleared framework. The model addresses counterparty risk and collateral inefficiencies that have limited institutional participation in digital asset derivatives.

The exchange will support both cash-settled and physically delivered derivatives, alongside other listed products, for traditional institutions and crypto-native investors.

Abu Dhabi’s Regulatory Edge

ADGM has established itself as a center for digital asset regulation, attracting firms seeking institutional-grade oversight. Arvind Ramamurthy, Chief Market Development Officer at ADGM, said the approval showed the free zone’s “forward-looking vision” and added that it created “an environment where innovation and trust go hand in hand.”

GFO-X is in advanced talks with institutional partners ahead of the planned 2026 rollout. With approvals in Abu Dhabi and the UK, and operations in Hong Kong, the group is building regulated infrastructure to support the integration of digital assets into global finance

According to U.S. Securities and Exchange Chair Paul Atkins, the highly influential regulatory agency will be prioritizing clarity around cryptocurrency regulation.

Under Chair Atkins, the regulator has dropped the controversial "regulation by enforcement" approach that was widely used by former SEC boss Gary Gensler. 

The SEC will address such issues as cryptocurrency offerings and sales, custody rules, as well as trading. 

At the same time, Atkins has stressed that the SEC will have no tolerance for fraud or misconduct. 

"Project Crypto" 

The most recent outline of the SEC's rulemaking agenda comes after the agency announced its "Project Crypto" initiative back in July. It is meant to create a more welcoming environment for crypto with modern rules. 

The initiative will focus on such particular issues as classifying cryptocurrency tokens, updating custody rules, embracing decentralized finance, and cross-agency collaboration, among other important priorities. 

Beyond crypto 

Apart from crypto, the agency will also focus on making compliance less burdensome while also democratizing assets to private markets. 

The current rules have to be updated in order to reach a higher level of efficiency. 

The SEC is currently working on scrapping the rules introduced during Genesler's term that do not align with the vision of the current administration. 

Paradigm has announced the launch of a new layer one (L1) blockchain dubbed Tempo. According to Matt Huang, Paradigm’s founder, Tempo is a payment-focused blockchain that was incubated by several investors led by Stripe and Paradigm, with its key features enabling the mainstream adoption of stablecoin payments.

The development of Tempo involved strategic investments from Anthropic, Coupang, Deutsche Bank, DoorDash, Lead Bank, Mercury, Nubank, OpenAI, Revolut, Shopify, Standard Chartered, and Visa. As a result, Tempo chain is well-positioned to grow exponentially in the near future.

What Sets Tempo Aside from Its Competitors?

The strategic launch of Tempo blockchain has coincided with the mainstream adoption of stablecoins fueled by clear regulations. Notably, more institutional investors have ventured into the stablecoin market since U.S. President Donald Trump signed into law the GENIUS Act earlier this year.

For instance, stablecoin issuers Tether and Circle have already announced the launch of their blockchain dubbed Plasma and Arc respectively. In order to set Tempo aside from its established competitors, the announcement noted that it will have predictable low fees, with the capability to scale more than 100 transactions per second. 

The Tempo chain users will have the opt-in privacy feature and seamlessly connect with other EVM-compatible blockchains. Moreover, the Tempo chain aims to enable round-the-clock tokenization of real-world assets .

“We’re building Tempo with principles of decentralization and neutrality. That includes Stablecoin neutrality, anyone can issue a stablecoin, and any stablecoin can be used for payments/gas. Independent and diverse validator set, with a roadmap toward a permissionless model,” Huang noted.

Among other technical features, the Tempo chain will offer flexible fee payments through other regulated stablecoins. The Tempo chain will allow batch payments and include the freezing feature to meet the compliance requirements.