Akshay Naheta, a former executive at SoftBank Group known for steering major deals, has founded a new company in Abu Dhabi focusing on stablecoin technology. The venture, named DTR, is established within the emirate's international financial free zone and involves a partnership with Hong Kong-based DRAM Trust. They aim to capitalize on the stablecoin market, which analysts estimate will grow over 20-fold to reach $2.8 trillion in five years.
DRAM coins, unlike most stablecoins tied to the US dollar, will be backed by the United Arab Emirates dirham, offering greater stability for individuals in countries facing high inflation. Additionally, it provides an alternative to the SWIFT system for international transfers.
Naheta emphasized their primary focus on the unbanked and underbanked populations in various nations. He stated, "If you want to diversify your risk and be in a currency that's complimentary to the dollar, there's a big percentage of money that can move into this."
Naheta, a former trader at Deutsche Bank AG, played a pivotal role in some of SoftBank's most significant deals. He pitched the sale of chip designer Arm to semiconductor designer Nvidia Corp and led a $4 billion investment in Nvidia in 2017.
Since leaving SoftBank last year, Naheta has been working on fintech projects, with the UAE as his home base.
While stablecoins have been around for nearly a decade, they have mostly been used by traders for moving digital assets between exchanges and have seen limited adoption in consumer payments. DRAM coins will be available on decentralized exchanges such as Uniswap, Sushiswap, and Pancakeswap, with plans to collaborate with centralized exchanges in the near future.
Naheta believes that the DRAM coin will have particular appeal in the UAE, given its sizable expatriate population and its proximity to high-inflation countries in Africa, the Middle East, and Asia.
He expressed optimism about the UAE's role in the evolving financial landscape, describing it as the "new Switzerland" – geopolitically neutral, a significant transportation hub, and a top tourism destination.
By fLEXI tEAM