2023 will be the ‘year of recovery’ for cryptocurrency industry, says SkyBridge Capital founder Anthony Scaramucci

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Updated 05 March 2023

2023 will be the ‘year of recovery’ for cryptocurrency industry, says SkyBridge Capital founder Anthony Scaramucci

Anthony Scaramucci remains firm in his conviction that 2023 will be the “year of recovery” for the cryptocurrency industry
  • “It is volatile but it’s been a very good start of the year for cryptocurrency,” US financier and entrepreneur tells “Frankly Speaking” talkshow
  • He says former President Trump has a “very strong base,” could win the nomination again if “10 or 12 Republicans are going to compete with him”

DUBAI: Anthony Scaramucci, the Wall Street banker who founded the investment firm SkyBridge Capital and the thought-leadership forum SALT, remains firm in his conviction that 2023 will be the “year of recovery” for the cryptocurrency industry.

He does not dispute that 2022 was a terrible year for crypto assets, with billions wiped off the market, a number of companies shutting down and bitcoin losing about 60 percent of its value. But appearing on “Frankly Speaking,” the weekly current-affairs talkshow of Arab News, he said: “The good news for the crypto industry is that things move very quickly.

“In the case of bitcoin, it is probably up right now roughly 30 to 40 percent. It is volatile, so it’s moving around a lot. But it’s been a very good start of the year for cryptocurrency … . It was a slight setback in February, but the crypto markets remain strong. And I maintain my view that this will be a recovery year for crypto.”

Speaking from Abu Dhabi, where he was attending the second Investopia conference, Scaramucci touched on a wide range of topics during the interview, lauded the economic opportunities in the Gulf region, and confirmed plans to take the SALT conference to Riyadh.

As with many notable businessmen, he has experienced his fair share of economic ups and downs.

Last year, Sam Bankman-Fried, founder of the cryptocurrency exchange FTX, paid $45 million for a 30 percent share of SkyBridge Capital, an investment firm founded by Scaramucci.

The deal fell through after FTX went bust and the former billionaire was charged in December with a litany of crimes including wire fraud, money laundering and campaign finance violations.

As one of Wall Street’s toughest investment bankers, does he consider the decision to give 30 percent of his business to SBF the worst deal of his life?




Appearing on Frankly Speaking, the weekly current-affairs talkshow of Arab News, Scaramucci said: “The good news for the crypto industry is that things move very quickly.”

“I didn’t give him the business. He purchased the business and paid $45 million for it. We are in the process now of buying that back from the bankruptcy court,” said Scaramucci, who also briefly served in the Trump administration in 2017.

“I trusted him. I was close to his father, had the opportunity to spend time with his mother, both of whom were tenured professors at Stanford Law School. And so that was a real betrayal to me. I thought that he was going to build a next-generation cryptocurrency exchange, basically an exchange and a tokenization model for many different assets.

“But of course, he was a fraud. And when that was uncovered, I was very disappointed.”

Scaramucci said he wanted to make an important point in this regard. “I brought (SBF) to Saudi Arabia and I brought him here to the UAE. And if I hadn’t done that, I don’t think that that fraud would’ve unraveled as quickly as it did,” he told Katie Jensen, the host of “Frankly Speaking.”

“Sometimes things happen for a reason. There’s a silver lining perspective to certain things. But that was certainly my worst business deal. I don’t think anything comes close to how bad that was.”

According to Scaramucci, SkyBridge will be able to buy back its shares in bankruptcy court, and the firm has many “long-term committed investors that have ridden many cycles with SkyBridge.”

Comparing his bruising experience with SBF to being a White House adviser for just 11 days in July 2017, Scaramucci said: “I would say that was way worse than working for President Trump … as ill-fated as it was for me and ultimately being fired from the administration after 11 days.”

He said there was also a silver lining to briefly being Trump’s director of communications. “It increased my profile; it gave me an opportunity to speak out against some of the things that the president was doing, that were against the values of the American people. I had a platform to do that. And I learned a lot,” he said.

“It was a very humbling experience, for those reasons way more psychologically minded, and so I value that time. The mistake with Sam, though, is a totally different situation.”

With the 2024 US elections on the horizon, Trump has announced his intention to run again. Though critical of his former boss after leaving the White House, Scaramucci says that the former president may have a chance at nomination.

“As critical as I’ve been of President Trump, I want to be objective. Right now, we only have Nikki Haley as another announced candidate. But if there are 10 or 12 Republicans that are going to compete with Trump for the Republican nomination, I believe he will win that nomination because he has a very strong base,” he said.

Scaramucci initially supported Trump for much of his tenure. “When Mr. Trump went after the four congresswomen in our Congress and basically said they needed to go back to the countries they originally came from, that was a bridge too far from me,” he said, adding that the events of Jan. 6 at the US Capitol and Trump’s refusal to assist the incoming administration with the transition soured his opinion of the former president.

When asked about the rumors that he himself might run for president in 2024, Scaramucci responded with the quip: “I am running for re-election of my marriage, OK. I’m not running for anything other than that.”


Russia eyes opportunities at trade show in Riyadh

Russia eyes opportunities at trade show in Riyadh
Updated 28 May 2023

Russia eyes opportunities at trade show in Riyadh

Russia eyes opportunities at trade show in Riyadh
  • Exhibition to showcase industrial technologies to help boost KSA’s development

RIYADH: Saudi Arabia and Russia’s bilateral economic ties are set to get a new boost as the Kingdom is hosting the Made in Russia +Innoprom business mission in Riyadh on May 29 and 30. 

In an interview with Arab News, Anton Atrashkin, program director of the Innoprom International Trade Show, said that more than 100 Russian companies would be a part of the event to be held in Riyadh. 

The delegation will be led by Russia’s Deputy Minister of Industry and Trade Alexei Gruzdev. 

Innoprom is the largest Russian industrial exhibition that has been held for the last 14 years in Yekaterinburg. 

The event aims to showcase advanced technologies developed in Russia that are ready to be used in the industrial sector. 

“All of us are very excited to see the reaction and attitude of the Saudi business community toward what we have to offer. We are really making our very first steps in the blessed land of the KSA. For many Russian delegates, it will be their first trip to the country. I would say that our business mission is opening a new page of bilateral economic relations,” said Atrashkin. 

Russian Helicopters, Transmashholding, Rostselmash Agricultural machines, Power Machines, and Kaspersky are some of the key companies participating in the industry event. 

Atrashkin also said that Russian agricultural products are getting popular in the Saudi market, and the event seeks to introduce Russian industrial technologies in the Kingdom. 

Gruzdev said the Russian-Saudi ties are based on a strong foundation, which will contribute to the development goals of both countries. 

Our business mission to Riyadh aims to strengthen economic ties between Russia and Saudi Arabia.

Alexei Gruzdev, Russia’s deputy minister of industry and trade

“Our business mission to Riyadh aims to strengthen economic ties between Russia and Saudi Arabia, discover new business opportunities, exchange ideas, and establish long-term partnerships,” said the deputy trade minister. 

He added: “We are particularly grateful to the Riyadh Chamber of Commerce for hosting us as well as to our Saudi partners from the Ministry of Industry and Mineral Resources and Ministry of Investment.” 

Atrashkin said that the infrastructure development currently underway in Saudi Arabia, including the giga-project NEOM, presents an opportunity for Russian companies to showcase their potential to become part of the success story of the Kingdom. 

“The whole world sees this project (NEOM) as the highest point of mankind’s ambitions. Many companies from Europe, the US, and Asia want to get a stake in this No. 1 project of the 21st century. Russian companies definitely have many competitive technologies in unmanned systems, construction, engineering, and software products,” added Atrashkin. 

He said that some business leaders visiting Saudi Arabia as part of this event are “prepared to discuss deep localization, being aware of the opportunities (available in) 36 industrial cities managed by the Saudi Authority for Industrial Cities and Technology Zones.” 

The Saudi Authority for Industrial Cities and Technology Zones, also known as MODON, has been undertaking the development and supervision of industrial lands and integrated infrastructure in Saudi Arabia, and it oversees 36 existing and under-development industrial cities across the Kingdom, in addition to private industrial facilities. 

According to Atrashkin, some areas where Saudi businesses can use Russian technologies include IT, engineering technologies for construction industries, unmanned systems for industrial and agricultural projects, and cybersecurity, to name a few. 

During the interview, Atrashkin also lauded the reformatory measures introduced by the Saudi government, which now allows foreign investors to operate in the Kingdom. He further noted that Russian-Arab relations have always been cordial and deep. 

I would say that our business mission is opening a new page of bilateral economic relations.

Anton Atrashkin, Program director, Innoprom International Trade Show

“When I witness the negotiations between the Russian and Arabic businessmen, I always note very warm attitudes toward each other. A genuine deep respect for your partner is a common feature of our business culture. It works well and helps to avoid many mistakes,” said Atrashkin. 

He further said: “I would also mention great support from the Saudi government to make the economy open — not only to the Russians but to all the partners of the KSA. The ambition of the Saudi government is to have the best infrastructure in the world. This means millions of opportunities for the manufacturers.” 

A recent press statement from Innoprom said that Saudi Arabia is currently witnessing a real industrial revolution, offering tremendous opportunities for foreign investors. 

“Many experts call the Kingdom of Saudi Arabia one of the most promising partners. Today, a real industrial revolution is taking place in Saudi Arabia; dozens of industrial cities are springing up with special regimes for foreign investors. The Russian industrial technology developers are looking for ways to get contracts worth multimillion dollars from the Kingdom,” it said in a press statement.


Qatar’s trade balance surplus hits $6bn in April

Qatar’s trade balance surplus hits $6bn in April
Updated 28 May 2023

Qatar’s trade balance surplus hits $6bn in April

Qatar’s trade balance surplus hits $6bn in April

RIYADH: Qatar recorded a trade surplus of 22 billion Qatari riyals ($6 billion) in April 2023, according to a report released by the country’s Planning and Statistics Authority.  

The data reflects a 3.5 percent increase over March while a 35.6 percent decline on an annual basis.  

The value of merchandise imports during April 2023 also fell 6.3 percent from the previous year and 9.3 percent from the last month to reach an estimated 8.7 billion riyals.  

Meanwhile, the value of Qatar’s exports of oil, gas, and condensate tumbled in April to 18.6 billion riyals, reflecting a decrease of 33.2 percent on an annual basis.  

The report showed that China and South Korea accounted for over a third of Qatar’s exports in April.

China topped the exports with 5.6 billion riyals, accounting for 18.3 percent of the total value.  

South Korea, on the other hand, came second with 5.1 billion riyals, representing 16.6 percent of the whole pie.  

Real estate market

Meanwhile, the Gulf nation reported 343 million riyals worth of transactions in the residential real estate sector from May 14-18.

Sales operations were concentrated in Doha, Al-Rayyan, Al-Daayen, Al-Wakra, Umm Salal, Al-Khor, Al-Thakhira, and Al-Shamal.

Qatar and other Gulf countries are seeing significant growth in non-oil activities as the region diversifies its economy away from oil.  

Earlier this month, Prime Minister Sheikh Mohammed bin Abdulrahman Al-Thani stated his country’s non-oil sector grew by 9.9 percent in the fourth quarter of 2022, and oil activities also saw a 4.8 percent rise.

Speaking at the Qatar Economic Forum, Al-Thani stated that the efforts of the gas-rich Gulf state have led to the development of robust financial institutions and the establishment of a work environment that stimulates business growth.  

These initiatives have resulted in a considerable increase in both domestic and foreign investments.  


Saudi HR development fund approves 18 professional certificates to boost labor market

Saudi HR development fund approves 18 professional certificates to boost labor market
Updated 28 May 2023

Saudi HR development fund approves 18 professional certificates to boost labor market

Saudi HR development fund approves 18 professional certificates to boost labor market

RIYADH: Aiming to create more job and career advancement opportunities for the national workforce, Saudi Arabia’s Human Resources Development Fund approved 18 professional certificates. 

With this move, the total number of approved professional certificates in the Kingdom has jumped to 146, according to a statement.

The fund disclosed that the newly approved certificates serve three professional fields: finance and banking, industrial engineering and information technology. 

It said that the new accreditation will help boost the competitiveness of the Kingdom’s national workforce. 

The accreditation will also motivate the Saudi workforce and help develop its skills and experience in various sectors. 

The fund is known to collaborate with other programs to empower national cadres and further develop their professional skills and capabilities.

It is seeking to build a productive and stable workforce in line with the strategic objectives of the Kingdom’s Ministry of Human Resources and Social Development. 

In March, the fund launched a new strategy and identity to support the development of a sustainable workforce in the Kingdom through training, empowerment and counseling programs.    

The new strategy aims to help the development of human capabilities and allow them to enter and remain sustainable in the labor market. 

In January, the fund also signed a cooperation agreement with the National Industrial Development and Logistics Program to encourage the training and recruitment of Saudis.    

Furthermore, it claimed that in 2022, it facilitated the employment of 400,000 persons in the private sector.   

 


Saudi bourses feel the heat as US debt ceiling clouds global markets

Saudi bourses feel the heat as US debt ceiling clouds global markets
Updated 28 May 2023

Saudi bourses feel the heat as US debt ceiling clouds global markets

Saudi bourses feel the heat as US debt ceiling clouds global markets

RIYADH: Saudi Arabia’s Tadawul All Share Index fell 46.52 points to close at 11,138.05 on Sunday, exercising caution ahead of the US debt ceiling decision that has gripped global markets. 

While the parallel market Nomu slipped slightly to 21,0553.54, the MSCI Tadawul Index closed flat at 1,483.75. 

The total trading turnover of the benchmark index was SR4.66 billion ($1.24 billion) as 98 stocks of the listed 224 advanced and 113 retreated. 

East Pipes Integrated Co. for Industry and Alkhaleej Training and Education Co. were the worst-performing stocks of the day, as their share prices fell about 5 percent to SR63.40 and SR22.50, respectively. 

However, Al Alamiya for Cooperative Insurance Co. emerged as the No. 1 stock as its share price surged 9.79 percent to SR17.50. 

Saudi Pharmaceutical Industries and Medical Appliances Corp., Saudi Enaya Cooperative Insurance Co., Saudi Industrial Services Co., and Saudi Fisheries Co. also had a field day as their share prices rose in the 5 percent range. 

On the announcements front, Bupa Arabia for Cooperative Insurance informed Tadawul that it registered a 212.9 percent increase in net income to SR188.6 million during the first quarter of 2023 compared to SR60.3 million in the year-ago period. 

The company said the strong performance was driven by a 27.2 percent annual increase in insurance revenue and a 77.7 percent decline in net expenses from reinsurance contracts held. Its share price jumped 1.58 percent to SR179.80. 

Abdulaziz and Mansour Ibrahim AlBabtain Co. told the Saudi Stock Exchange that its shareholders approved a 5 percent cash dividend or SR0.5 per share for the first half of 2022. The company will dole out SR1.7 million in dividends on May 25. Its share price progressed 2 percent to SR51. 

Last week, Al Moammar Information Systems Co. signed two contracts worth SR188.72 million. 

The first contract was concluded with Advanced Electronics Co. Ltd. to renew software licenses at SR47.04 million. The contract has a term of five years. 

The second 24-month agreement was signed with the National Center for Government Resources Systems for SR141.68 million. The deal entails establishing and building the infrastructure for a unified government resource system by supplying and installing hardware and software. MIS’s share price increased 0.9 percent to SR134. 

On Nomu, Aqaseem Factory for Chemicals and Plastics Co. announced its plans to issue Saudi riyal-denominated sukuk through an offering on the website of Sukuk Capital Co. 

The company said the issuance value will be determined later based on market conditions and will be employed to support the company’s operational activities. 

The stock exchange also witnessed the retail subscription of two initial public offerings: Morabaha Marina Financing Co. and Al Mawarid Manpower Co. 

MMFC has offered about 2.14 million shares, or 10 percent of the total shares, at SR14.60 each, while AMMC proposed 450,000 shares at SR64 each. 

These IPOs are the first on Tadawul this year. 


NEOM sets ambitious target to preserve natural environment

NEOM sets ambitious target to preserve natural environment
Updated 28 May 2023

NEOM sets ambitious target to preserve natural environment

NEOM sets ambitious target to preserve natural environment

RIYADH: As part of Saudi Arabia’s efforts to protect the environment and promote sustainable living, NEOM has pledged to allocate 95 percent of its total area for preservation.

It will also develop a facility in Al-Asilah to preserve the Arabian oryx, the Arabian sand gazelle, the mountain gazelle, and the ibex.

The reserve will be home to one of the biggest wildlife restoration programs in the world and will allow visitors to learn about NEOM’s programs for the development and rehabilitation of vegetation and wildlife.

The announcement was made at the second Tabuk Forum, which was organized by NEOM.

During the forum, NEOM officials highlighted various programs it is currently undertaking in different areas such as social responsibility, sports, tourism, media, career guidance management, human resources, contracts and purchases, hospitality, education, and scholarships.

Saudi Arabia is expanding its ambitions through projects such as The Line in NEOM, a zero-car environment that is part of a 100 percent sustainable transport system.

The city will be 200 meters wide, 170 km long, and rise 500 meters above sea level and will contribute to conserving 95 percent of NEOM’s land and support environmental sustainability.

Its design is based on a new concept of zero-gravity urbanism, the idea of layering city functions vertically while enabling inhabitants to move seamlessly in the city in three directions — up, down, and across — offering quick access to offices, schools, parks, and residential facilities.

The Line’s unique modular design ensures that all facilities and amenities can be accessed within a five-minute walk.

Using an innovative design that requires minimal space and less water, hydroponics gardens will grow fruit, vegetables, and flowers in half the time of traditional agriculture methods.

NEOM has several ongoing megaprojects, one of them being Trojena, a year-round winter sports complex designed by Iraqi British architect Zaha Hadid. And what will be the first outdoor ski resort in the Gulf Cooperation Council region, is set to host the Asian Winter Games in 2029.

Another megaproject is Sindalah Island, a luxury tourist destination.