Photo credit: Ben Koorengevel/Unsplash 

The UAE continues to cement its reputation as a global crypto hub, welcoming new entrants by approving VASP licenses for two firms.

Dubai’s Virtual Asset Regulatory Authority (VARA) has given the green light to Bybit’s provisional (non-operational) approval for a Virtual Asset Service Provider (VASP) license, and to Amber Premium FZE’s in-principle approval for a VASP license.

According to Bybit, the crypto exchange is currently engaged in a “constructive dialogue” with the regulators to get the thumbs up, which is the first step before achieving full operation approval. Bybit promised it will continue to adhere to the VARA’s “high standards” of crypto regulation.

Commenting about Bybit’s latest “milestone,” Chief Operating Officer of Bybit, Helen Liu, said:

“Dubai's strategic location, progressive policies, and innovation-driven environment offer unparalleled opportunities for businesses and investors in the cryptocurrency sector.”

Liu further added, “With its robust regulatory framework and commitment to becoming a blockchain capital, Dubai is the ideal place to advance digital currencies and foster growth in this exciting industry.”

While Bybit’s license is non-operational, the in-principle approval will allow Amber Premium FZE to provide a wide range of virtual asset services, such as broker-dealer activities, lending and borrowing solutions, and management and investment services in the UAE. 

Amber Group’s CEO, Michael Wu, expressing his joy over the license approval, stated: “This achievement is a testament to our commitment to regulatory compliance and responsible growth.”

“Dubai’s progressive regulatory environment, along with the invaluable support of NH Management, positions us to establish a strong virtual asset ecosystem.”

Dubai’s VARA acts as the regulator in observing crypto exchanges and other Virtual Service Providers within Dubai’s mainland and freezone regions.