Crypto.com secures preliminary VASP license from Dubai digital asset regulator

Crypto.com has secured a Virtual Assets Service Provider (VASP) license from the Dubai Virtual Assets Regulatory Authority (VARA).

The exchange, through its entity CRO DAX Middle East FZE, announced the partial VASP license granting permission for specific virtual asset services.

To obtain the full VASP license, the exchange must meet specific conditions VARA sets. Once completed, the exchange will qualify for operational approval, allowing Crypto.com to offer regulated digital asset services, including exchange, broker-dealer, management and investment, and lending and borrowing services.

Kris Marszalek, CEO of Crypto.com, expressed pride in achieving this milestone, citing the license as evidence of the company’s dedication to security and compliance. He commended Dubai authorities for their effective regulations supporting innovation.

“Dubai continues to show it is a leading market when designing effective regulation for the crypto space while still supporting adoption and innovation.”

The full operational approval will empower Crypto.com to present its top-notch products to customers across permitted jurisdictions from Dubai.

Crypto in Dubai

Dubai has emerged as one of the most crypto-friendly hubs in the world, earning praise from numerous crypto-related firms operating within the region.

Over the past several months,  Dubai’s regulatory body has granted operational licenses at different stages to several crypto exchanges and firms, such as Komainu, Backpack Exchange, and WadzPay.

These developments solidify its reputation as a crypto-friendly jurisdiction, showcasing a robust regulatory framework and comprehensive rulebooks for VASPs. All crypto firms undertaking or planning on undertaking regulated activities within the region must apply for a regulated license with VARA.

Brad Garlinghouse, CEO of Ripple, highlighted Dubai as a prime example of a jurisdiction where regulators actively engage with the evolving crypto industry. He cited the city’s status as a global frontrunner, attributing its success to clear regulatory frameworks, policies promoting innovation, and an environment conducive to entrepreneurial endeavors.