Copper Expands Horizons: Launching Digital Securities Brokerage in Abu Dhabi

In a strategic maneuver, Copper Securities is actively collaborating with Abu Dhabi's Financial Services Regulatory Authority (FSRA) to secure essential approvals by early 2024, signaling a pivotal entry into the digital securities brokerage arena.

The prominent cryptocurrency custody and trading firm, Copper, unveiled plans on a recent Wednesday to initiate a brokerage service for digital securities in Abu Dhabi during the early months of the upcoming year. Facilitating this expansion is Copper Securities, a newly established entity exclusively devoted to executing and safeguarding services. With a dedicated focus on regulatory compliance, Copper Securities is working closely with the FSRA to navigate the intricate regulatory landscape and secure the necessary approvals within the stipulated timeframe.

This strategic move stems from Copper's recent acquisition of Securrency Capital, a division located in Abu Dhabi associated with the Securrency tokenization platform. Notably, this specific division remained unaffected by the October acquisition of Securrency Inc. by the Depository Trust & Clearing Corp. (DTCC).

Copper's strategic alignment with Abu Dhabi reflects a broader trend observed among cryptocurrency businesses, seeking the regulatory transparency provided by the United Arab Emirates, surpassing that of many other jurisdictions. Dmitry Tokarev, Copper's CEO, underscored Abu Dhabi's significance as "the capital of capital," emphasizing its role as a central hub for institutional assets.

In an interview, Tokarev elucidated that Abu Dhabi's institutional focus on asset management resonates harmoniously with Copper's client base, predominantly composed of institutional investors. While the retail market might not be as extensive, the region boasts a concentration of significant institutions, hedge funds, and sovereign wealth funds.

The financial landscape is undergoing a gradual convergence between traditional financial infrastructure (TradFi) and blockchain technology. This transformative trend is evident as banks and asset managers increasingly explore the tokenization of traditional financial assets.

Copper Securities, as part of its service repertoire, intends to introduce streamlined processes for corporate actions, settlements, top-ups, and rebalances. Additionally, there are strategic initiatives to unveil securities financing, lending, and payments applications throughout the upcoming year. This underscores Copper's unwavering commitment to delivering a comprehensive suite of services in response to the evolving landscape of digital securities brokerage.

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