Crypto.com has been granted a license to operate a crypto exchange in Dubai, pending operational approval. This license will allow Crypto.com to offer exchange, broker-dealer, and lending and borrowing services.
The Dubai Virtual Assets Regulatory Authority has granted a Virtual Assets Service Provider (VASP) license to Crypto.com’s Dubai entity, subject to operational approval.
The exchange’s local business CRO DAX Middle East FZE will be able to offer retail and institutional investors exchange, broker-dealer, and lending and borrowing services, once the exchange has been fully approved by the city’s regulator, Crypto.com mentioned in a press statement on Nov. 14.
Crypto.com also tweeted on X(formerly Twitter) about the news of its recent approval by the Dubai Virtual Assets Regulatory Authority and stated that it’ll be building its position in the United Arab Emirates (UAE) market.
Crypto.com is working hard to become one of the first virtual asset exchanges to begin operating under VARA’s new regulations for virtual assets, which were issued in February 2023.
Crypto.com CEO Kris Marszalek in a statement said that the exchange is honored to be amongst the first to be granted Virtual Asset Service Provider Licence by VARA, and it looks forward to working with regulators to contribute to Dubai’s crypto industry.
In March 2022, Crypto.com announced that Dubai would be its regional hub for the Middle East and North Africa. It received a provisional license from VARA in June 2022 and an MVP preparatory license in March 2023.
Following the recent regulatory actions against crypto firms in the United States, Dubai has become an attractive destination for crypto businesses seeking legal clarity. Many firms view Dubai as an emerging digital asset hub in the Middle East, given its crypto-friendly regulations.
Alex Chehad, General Manager of Binance Dubai, said that while the U.S. has struggled to provide a clear regulatory framework for crypto firms, Dubai and the UAE have done so successfully. This has made it easier for large companies like Binance to establish permanent headquarters in the region.
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