Tencent Cloud, the cloud services division of the Chinese conglomerate Tencent, has formalized a memorandum of understanding (MoU) with the United Arab Emirates' specialized free economic zone dedicated to cryptocurrency activities. The agreement, announced by Ras Al Khaimah Digital Asset Oasis (RAK DAO) on March 7, aims to foster collaboration in promoting startup ventures through various initiatives.
The MoU between RAK DAO and Tencent Cloud outlines strategies for mutual growth, particularly focusing on supporting startups registered within RAK DAO, situated in Ras Al Khaimah, one of the UAE's emirates. As part of the agreement, Tencent Cloud plans to establish a training center within RAK DAO to facilitate skills enhancement and educational endeavors. Moreover, the partnership aims to offer internship opportunities within Tencent Cloud's ecosystem for companies licensed under RAK DAO and their associates.
Expressing enthusiasm for the collaboration, Sheikh Saud bin Saqr Al Qasimi, the Ruler of Ras Al Khaimah, emphasized the significance of the MoU as a milestone for the emirate. He welcomed Tencent Cloud's involvement, highlighting the potential for bolstering Ras Al Khaimah's stature as a burgeoning technology hub.
Tang Daosheng, CEO of Tencent Cloud, underscored the cooperative effort's ambition to set a new standard in the Web3 domain and unlock fresh prospects in the digital economy. Notably, the UAE's "free zones" afford entrepreneurs full ownership of their businesses within the country, operating under distinct regulatory frameworks and tax structures independent of the mainland, albeit adhering to the UAE's criminal code.
Established in 2023, RAK DAO serves as a specialized free trade zone dedicated to accommodating virtual asset enterprises. Specifically tailored for entities engaged in Web3 technologies such as the Metaverse, blockchain, non-fungible tokens (NFTs), decentralized applications (DApps), and decentralized autonomous organizations (DAOs), RAK DAO offers a conducive environment for fostering innovation and growth in the virtual asset sector.
The UAE Free Trade Zone has demonstrated an increasing inclination toward collaborating with entities in the cryptocurrency ecosystem. For instance, in July 2023, it inked an MoU with the HBAR Foundation to provide support for ecosystem participants in leveraging the Hedera blockchain and its associated technologies.
