With the progression of digital currencies over the world, the United Arab Emirates has delivered information regarding a cryptocurrency that will stem and develop from Dubai. An established partnership has been confirmed with Emcredit, a subsidiary of Dubai Economy, and the digital-startup Object Tech. This partnership was established to create a new cryptocurrency, emCash, which is an encrypted digital currency that can be used to make payments for goods and services.
WHAT IS EmCASH?
Emcash is a secure digital currency, which is powered by blockchain technology. This will allow a party to make payments that are purely contactless, through the use of a digital wallet. The digital wallet, known as emPay, will be developed by Emcredit, to store and allow fluid transactions of emCash currency from source to destination.
The emPay wallet will be a digital wallet that will be accessible and available on smartphones. An important aspect to note is that the blockchain technology that will be deployed by the Emcredit team will ensure that all transactions are published on an immutable public ledger. This means that the transactions that occur and power the emPay ecosystem are put in the hands of the blockchain, and not through a manual process. This ultimately ensures that the system is unbiased and all transactions will be processed smoothly and rapidly on the blockchain.
Citizens of the United Arab Emirates will be able to conduct payments, whether they be large payments or micropayments, with ease. This can range from “their daily coffee and children’s school fee to utility charges and money transfers, through the near field communication (NFC) option in their phones,” as Dubai Economy explained. The ease of use and ability for a merchant to accept payments in real time without the intervention of a 3rd party is another reason that makes emPay desirable.
“A digital currency has varied advantages – faster processing, improved delivery time, less complexity and cost, to name a few. It will change the way people live and do business in Dubai, and mark a giant leap for the city in harnessing game-changing innovations to improve ease of business and quality of life,” said Dubai Economy deputy director general Ali Ibrahim.
THE BLOCKCHAIN REVOLUTION
The benefits that blockchain technology provides is unparalleled and has many use cases that it resolves. By acting as a decentralized, distributed, and cryptographically secure ledger, blockchain technology can be greatly utilized for all types of transactions. The Government of Dubai securing a partnership with Object Tech indicates that blockchain technology has progressed in being adopted and accepted by the United Arab Emirates. Object Tech focuses on producing digital passports for visitors to the United Arab Emirates to end manual passport verification by utilizing the powerful blockchain technology.
Not only is Dubai producing their own digital currency to make seamlessly easy contactless payments, but Dubai has set a goal of becoming the first blockchain powered government by the year 2020. The Blockchain Strategy that the Dubai officials aim to achieve will have a large emphasis and focus on transferring all government issued documents to the blockchain.
“The distributed ledger technology could cut bank transactions by $15 to $20 billion a year by 2022. With the possibility to removing costs of manual processing, processing errors and re-work it could deliver savings as much as 75 percent ” said Dan Frankel, Blockchain City Advisor to Dubai.
Dubai’s move towards a truly secure digital system that allows for transactional payments, verification of government documents, and immense cost savings (incurred by bank transactions) puts blockchain technology at the forefront. This is just the beginning of a seemingly successful future for blockchain technology.