The Bitcoin infrastructure provider, OpenNode will test a Bitcoin payment processing solution in the Central Bank of Bahrain (CBB) regulatory sandbox, the company announced on Sept. 13. This is the latest of several steps the kingdom has taken to join the crypto economy, both on its own and as a member of the Cooperation Council for the Arab States of the Gulf (GCC).
OpenNode will provide the first Bitcoin (BTC) infrastructure in Bahrain, though the Gulf island nation has been attracting fintech companies to its shores in recent years as it moves away from an oil-based economy. OpenNode CEO and co-founder Afnan Rahman called the deal with the CBB “a watershed moment for the people of Bahrain, the Middle East, and the broader Bitcoin economy.”
The Executive Director of Investment Development for Financial Services of the Bahrain Economic Development Board, Dalal Buhejji commented on the addition of OpenNode to the CBB sandbox:
“As a country, we have always been ahead in adopting fintech solutions thanks to the flexibility and forward-thinking of our regulator.”
Nevertheless, Bahrain is unlikely to overtake Dubai as the most advanced cryptocurrency country in the Gulf region.
The CBB created a regulatory sandbox in 2017 and upgraded it in 2021. Also in 2021, Bahrain licensed local Sharia-compliant cryptocurrency exchange CoinMENA.
This year, Binance has been authorized by the CBB to operate in the country, making it the first international crypto exchange to receive a license in the GCC. It has also partnered with JPMorgan Chase’s crypto asset unit Onyx to create an instant cross-border payment solution.
“This is a watershed moment for the people of Bahrain, #bitcoin economy as a whole.
OpenNode’s leading #BTC infrastructure solution continues to pave the way for countries, governments and reputable financial institutions to adopt the #bitcoin“- says CEO & Co-Founder at OpenNode https://t.co/0Sup54AF4j
— GemCryptoFather (@GemCryptoFather) September 13, 2022
OpenNode is currently active in more than 160 countries, including El Salvador. The company was founded in 2018 with funding from venture capitalist Tim Draper and his company Draper Capital.
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