Major Crypto Exchange Bags New License in Dubai
TL;DR
Kraken has obtained a new regulatory license from Dubai's Virtual Asset Regulatory Authority (VARA) to expand its services in the region. This license allows Kraken to offer broker-dealer, investment, and management services in Dubai.
Key points
- Kraken secured a regulatory license in Dubai
- License obtained from the Virtual Asset Regulatory Authority (VARA)
- Allows Kraken to offer broker-dealer and investment services
- Potentially expands Kraken's user base in the UAE
Mentioned in this story
Top-rated cryptocurrency trading platform Kraken has just secured a major regulatory license in Dubai, amid its efforts to continuously expand its presence across the global space.
According to an official announcement released by the exchange on May 21, Kraken's parent company, Payward, has secured regulatory authorization from the Virtual Asset Regulatory Authority (VARA) in Dubai.
Kraken expands services to UAE clients
While the development comes as a big win for the Kraken ecosystem, the regulatory authorization provides Payward with a broker-dealer, investment, and management license from VARA.
As such, the company now boasts official preliminary approval to exclusively offer its services in Dubai, potentially expanding its growing user base.
This positions Kraken for bigger adoption as the exchange can now offer its broad range of crypto services in Dubai. The services include spot trading, margin trading, over-the-counter (OTC) services, staking, and institutional access through Kraken Prime.
While Kraken is well-renowned for its high-liquidity crypto trading platform, the licensing has offered UAE traders access to Kraken's global order books, which have deep liquidity and reliable execution across major markets in Europe, the US, and APAC.
Kraken eyes support for UAE dirham (AED)
Per its announcement, Kraken disclosed plans to roll out support for UAE dirham (AED) funding and withdrawals later this year.
This move will enable local clients to move funds directly between bank accounts and crypto markets without relying on foreign currencies.
More specifically, users will also be able to make crypto deposits and withdrawals in dirhams (AED) through a locally regulated Payward subsidiary.
While this allows the company to offer secure, frictionless access to global crypto markets through a trusted, regulated on-ramp, it also strengthens Kraken's ability to serve both retail and institutional investors in one of the world's most crypto-friendly regions.
Q&A
What regulatory license did Kraken secure in Dubai?
Kraken secured a broker-dealer, investment, and management license from the Virtual Asset Regulatory Authority (VARA) in Dubai.
How will Kraken's new license impact its services in the UAE?
The new license allows Kraken to exclusively offer its services in Dubai, potentially expanding its user base in the UAE.
When did Kraken announce its regulatory approval in Dubai?
Kraken announced its regulatory approval from VARA on May 21.
