Ripple‘s digital asset, XRP, was endorsed by the Dubai Financial Services Authority (DFSA) on November 2, 2023 under its virtual asset regime for the Dubai International Financial Centre (DIFC). This endorsement provides legal and regulatory clarity and facilitates efficient global value exchange. With this move, XRP becomes the first virtual asset to be endorsed since external applications were allowed, joining Bitcoin, Ethereum and Litecoin in the DFSA’s portfolio. This approval allows institutions in the DIFC to incorporate XRP into their operations.
Ripple CEO Brad Garlinghouse praised Dubai’s innovative approach to virtual assets and pledged to strengthen Ripple’s presence in Dubai. He also expressed his intention to work with regulators to unlock the full potential of crypto. Ripple’s Chief Legal Officer, Stuart Alderoty, welcomed the DFSA’s clear guidelines, which enhance Dubai’s attractiveness to entrepreneurs.
In contrast to Dubai’s progressive stance, the U.S. digital asset space has been hampered by the SEC‘s regulation-by-enforcement approach. SEC Chairman Gary Gensler continues his anti-crypto rhetoric. On the same day as the DFSA’s endorsement, XRP saw a slight dip of 0.44% to close at $0.6058 amid rising tensions with the US Securities and Exchange Commission (SEC).
In terms of price action, XRP remained above its 50-day and 200-day exponential moving averages (EMAs). If XRP breaks above Thursday’s high of $0.6268, bulls may target the resistance level of $0.6354. On the other hand, a drop below the $0.5835 support level could lead to a test of the $0.5470 support level.
