U.S.-based crypto exchange Kraken is moving closer to a regulated launch in Dubai, with local dirham funding and trading access planned for UAE clients.
The crypto exchange's parent company, Payward, said in a press release today that it received preliminary approval for a broker-dealer, investment and management license from Dubai's Virtual Assets Regulatory Authority (also known just as VARA).
With the approval, Payward now has a path to offer Kraken services in Dubai through a locally regulated subsidiary.
The company said the planned offering would include spot, margin and OTC trading as well as crypto staking, among other services. UAE clients would also be able to fund and withdraw in dirhams, the official currency used in the UAE and Morocco.
VARA says applicants go through a licensing process, and its public materials describe the regulator as overseeing virtual asset services in and from Dubai, excluding the Dubai International Financial Centre.
The move revives Kraken's UAE push after its earlier Abu Dhabi presence.
- In 2022, Abu Dhabi Global Market said Kraken had received a full financial services permission from ADGM's Financial Services Regulatory Authority to operate a regulated virtual asset exchange platform in the region.