The man who established Bahrain Financial Exchange regulated by the Central Bank of Bahrain. He was part of the core team that established the exchange in a record time of 12 months from conceptualization to its launch in 2005. Before that he played key role in the establishment of the Multi Commodity Exchange of India
With Arshad, we planned our meeting for several weeks and it was quite difficult due to the busy schedule, but in the end we managed to connect and the result is worth it.
My big thanks and my the biggest pleasure to talk with the man who established the Indian, Dubai and Bahrain exchanges and now is working on a new challenge.
Ivana: All this means that you have a very good friendship with Bahrain? Yesterday I had a call with Bahrain and we talked a little about the banking system. Do you think the situation has changed in the banking system?
Arshad: Yes, I have lived in Bahrain more than 5 years and I was in charge of an exchange established under the regulations of the Central Bank of Bahrain. We had to go through a rigorous procedure, working on the rules, due diligence and all necessary steps. So yes I have some very good friends there.
,, Bahrain has 110+ banks, under the Central Bank of Bahrain plus they have a lot of asset management, fund managers, wealth managers and financial institutions. Bahrain is the first financial centrum in Gulf countries, much before Dubai, Qatar or Saudi. They were the first to establish a financial centrum on lands like Singapore or- UK.”
Ivana: I was surprised by your 22 years of experience as a professional in the complete financial markets eco-system and the technology behind it. Being at the helm of several financial exchanges, from their inception, provided you with detailed insight in areas of technology, operations, products, regulations, strategy, finance and marketing. You are also a speaker at conferences about cryptocurrencies and finance. Have I missed something ?
Arshad: Currently, I’m the Co-founder & CEO of Arabian Bourse which is a pioneering crypto asset exchange and custodian being established in the Abu Dhabi Global Market.
What I currently see is great potential for cryptocurrencies, like bitcoin, ethereum. They have a very great future but they have not many exchanges globally that operate very transparently and in the regulated manner. So what we are doing in Abu Dhabi is to set up this exchange, for it to be very transparent and very well regulated.
Ivana: Lately, I see a lot of projects falling in crypto space, at the same time 80% of the crypto of the world is a huge scam, a large number of young people are investing out of control. Is crypto becoming a big casino?
Arshad: A lot has changed in crypto over the last 10 years. There are good things going on but also some bad things, and in crypto some bad experiences happened because Crypto was not properly regulated. Due to which many investors have lost money. This is changing now with regulations catching up and more information about it being made available. Crypto is also a highly volatile asset class hence it can move sometimes in a direction which can result in losses for investors.
Ivana: You have strong experience in the Gulf Countries you have established strong business relations with regional financial institutions and regulatory authorities. What do you see as the main differences between the GCC countries in the financial ecosystem?
Arshad: Of course not just because my business is based in Abu Dhabi, UAE but if you see in the last 3 years. Abu Dhabi Global Market has established itself as an active destination for fintech, digital banking and digital assets businesses. Their regulatory framework has become an incubation centre for various types of developing fintech and crypto assets ecosystems. So I think the Abu Dhabi Global Market, UAE has taken a lead amongst the GCC countries when it comes to digital assets.
Ivana : Firstly, what do you think about the new generation of people who want to start working in the stock market. In many cases, this new generation is looking for financial prosperity as quickly as possible, and because of this they are making riskier investments than previous generations.Do you see this also and what do you think about this?
How can we care for or save these people who don’t understand cryptocurrencies but want to invest and after they lose all their money?
Arshad: The problem with crypto currencies is, that anyone can set up a nice looking website and start claiming themselves as a crypto exchange or broker. They offer leveraged products attractive to unwary investors.They can even create their own coins and disappear from the market in a short time. Fortunately now this is changing with regulations and market awareness picking up and investors are getting education on what steps to take before investing their money in this asset class.
Ivana: Do you see some differences, such as culture, manners, and willingness to take risks, between the gulf countries and Europe and Russia investors ?
Every country and every culture is different. Yes I see a lot of differences when it comes to investing specially in crypto. Investors have different expectations and different levels of risk appetite.
Ivana: The main idea of Le Globless is to learn from the best, unique, brilliant and powerful global leading minds and to share this experience. Le Globless also attracts investors from around the world. What do you think about our mission Le Globless and building a new generation of business?
We connect very private investors with unique and safe opportunities. We are looking for the best and private possibilities in the world.
Arshad: There is a huge gap that needs to be filled. It’s not easy what you are doing, this route is very challenging, because you have chosen the path for long-term knowledge. But you do a good job. I would like to open about the possibilities of cooperation and interconnection.
A great man is not one who behaves arrogantly and thoughtfully. He is someone who has accomplished great things and yet is full of humility, decency and humanity. My great respect and honor to speak to a huge man like Arshad Khan. My thanks, we did it.