Fluent Finance, an American startup with a vision of connecting banking with Web3, recently disclosed its collaboration with the United Arab Emirates' Ministry of Economy. The objective is to construct technology based on deposit tokens. This enterprise, which capitalizes on the Nextgen FDI growth scheme, is set to inaugurate operations in Abu Dhabi, anticipating a growth in jobs exceeding 100.
Fluent Finance’s Mission to Build Stablecoin and Deposit Token Technology in UAE
Fluent Finance, a startup based in Delaware and established in 2020, is renowned for its innovative banking and Web3 linking solutions. The company disclosed its plans to establish its presence in the United Arab Emirates (UAE) under the auspices of the Nextgen FDI scheme. This scheme is dedicated to providing digital businesses with the necessary resources to commence operations and scale from the UAE.
The startup disclosed its plans in July to launch its linking solution, known as the Fluent Economic Bridge, from the UAE. This move will enable it to garner feedback from banks and regulators in the region. The Fluent Economic Bridge is designed to facilitate cross-border settlements through the use of deposit tokens and blockchain technology. Deposit tokens are backed directly by banking deposits, purportedly instilling a sense of security and predictability in these transactions.
At present, the platform is undergoing trials in Kenya, and Fluent Finance has plans to establish a digital corridor with UAE institutions.
UAE’s Encouragement of Digital Assets
The UAE distinctively embraces a Web3-accommodating regulatory framework, which differentiates it from other nations. It supports startups wishing to establish their base in the country through programs such as the Nextgen FDI. Fluent Finance's CEO, Bradley Allgood, stated that the UAE was an "apparent" location for the launch of their settlement solution.
Allgood elucidated further:
"The UAE provides precisely the kind of supportive, enabling environment that Web3 companies like Fluent require. The blend of mindful regulation, future-oriented vision, and advanced technology aspirations means we have the right foundations on which to develop our product and grow our organization."
Thani Al Zeyoudi, Minister of State for Foreign Trade, expressed that this move signifies the culmination of all the efforts that the UAE has been undertaking to portray itself as a hub for Web3 and blockchain.
Al Zeyoudi emphasized that the UAE has evolved into "a notable advocate for the modernization of the multilateral trading system, as well as a supportive place for the development of the tools and applications that can deliver it." He also highlighted that digital currencies have "the potential to enhance the efficiency and accessibility of global supply chains."
What is your perspective on the UAE's Nextgen FDI program and Fluent Finance's role within it?
Frequently Asked Questions
What proportion of your portfolio should you have in precious metals
Before we can answer this question, it is important to understand what precious metals actually are. Precious metals have elements with an extremely high worth relative to other commodity. This makes them extremely valuable for trading and investing. Gold is currently the most widely traded precious metal.
There are however many other types, including silver, and platinum. The price of gold fluctuates, but it generally remains stable during times of economic turmoil. It is also not affected by inflation and depression.
As a general rule, the prices for all precious metals tend to increase with the overall market. However, the prices of precious metals do not always move in sync with one another. For instance, gold's price will rise when the economy is weak, while precious metals prices will fall. Investors are more likely to expect lower interest rates making bonds less attractive investments.
Contrary to this, when the economy performs well, the opposite happens. Investors favor safe assets like Treasury Bonds, and less precious metals. They become less expensive and have a lower value because they are limited.
It is important to diversify your portfolio across precious metals in order to maximize your profit from precious metals investments. Furthermore, because the price of precious Metals fluctuates, it is best not to focus on just one type of precious Metals.
Can I buy Gold with my Self-Directed IRA?
However, gold can only be purchased with your self-directed IRA. To do so, you must first open a brokerage account at TD Ameritrade. If you already have a retirement account, funds can be transferred to it.
The IRS allows individuals up to $5.500 annually ($6,500 if you are married and filing jointly). This can be contributed to a traditional IRA. Individuals may contribute up to $1,000 ($2,000 if married, filing jointly) directly into a Roth IRA.
You should consider buying physical gold bullion if you decide to invest in it. Futures contracts are financial instruments based on the price of gold. These contracts allow you to speculate on future gold prices without actually owning it. But physical bullion refers to real gold and silver bars you can carry in your hand.
Who has the gold in a IRA gold?
The IRS considers gold owned by an individual to be “a type of money” and is subject taxation.
This tax-free status is only available to those who have owned at least $10,000 of gold and have kept it for at minimum five years.
Owning gold can also help protect against inflation and price volatility, but it doesn't make sense to hold gold if you're not going to use it.
If you plan to sell the gold one day, you will need to report its worth. This will affect how much capital gains tax you owe on cash you have invested.
Consult a financial advisor or accountant to determine your options.
Is gold a good IRA investment?
Anyone who is looking to save money can make gold an excellent investment. You can also diversify your portfolio by investing in gold. But gold is not all that it seems.
It has been used throughout history as currency and it is still a very popular method of payment. It is often called “the most ancient currency in the universe.”
But unlike paper currencies, which governments create, gold is mined out of the earth. That makes it very valuable because it's rare and hard to create.
The supply and demand for gold determine the price of gold. People tend to spend more when the economy is healthy, which means that fewer people are able to mine gold. As a result, the value of gold goes up.
On the flip side, people save cash for emergencies and don't spend it. This results in more gold being produced, which drives down its value.
This is why both individuals as well as businesses can benefit from investing in gold. If you have gold to invest, you will reap the rewards when the economy expands.
Also, your investments will earn you interest which can help increase your wealth. Plus, you won't lose money if the value of gold drops.
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
- Yahoo Finance provides information about Barrick Gold Corporation's (GOLD) stock price, news, quote, and history.
- 7 U.S. Code SS7 – Designation boards of trade as contract market authorities
- 26 U.S. Code SS 408 – Individual retirement plans
Investing in gold or stocks
Gold investing as an investment vehicle can seem extremely risky these days. Many people believe that investing in gold is not profitable. This belief stems from the fact that most people see gold prices being driven down by the global economy. They think that they would lose money if they invested in gold. However, investing in gold can still provide significant benefits. We'll be looking at some of these benefits below.
One of the oldest currencies known to man is gold. It has been in use for thousands of year. It was used by many people around the globe as a currency store. It's still used by countries like South Africa as a method of payment.
You must first decide how much you are willing and able to pay per gram to decide whether or not gold should be your investment. If you're interested in buying gold bullion, it is crucial that you decide how much per gram. You could contact a local jeweler to find out what their current market rate is.
It's also important to note that, although gold prices are down in recent months, the costs of producing it have risen. Although the price of gold has dropped, production costs have not.
The amount of gold that you are planning to purchase is another important consideration when deciding whether or not gold should be bought. It makes sense to save any gold you don't need to purchase if your goal is to use it for wedding rings. If you plan to do so as long-term investments, it is worth looking into. Selling your gold at a higher value than what you bought can help you make money.
We hope you have gained a better understanding about gold as an investment tool. Before making any investment decisions, we strongly advise that you thoroughly research all options. Only then can informed decisions be made.
By: Sergio Goschenko
Title: Fluent Finance Teams Up with UAE to Build Deposit Token Technology
Sourced From: news.bitcoin.com/fluent-finance-partners-with-uae-to-develop-deposit-token-tech/
Published Date: Sat, 14 Oct 2023 10:30:37 +0000