Kraken receives Dubai VARA preliminary approval to launch regulated services

The cryptocurrency exchange Kraken has moved closer to launching in the United Arab Emirates after its parent company, Payward, received preliminary approval from Dubai’s Virtual Assets Regulatory Authority (VARA). The authorization, granted on Thursday, provides a pathway for Kraken to offer regulated virtual asset services in Dubai once remaining requirements are completed.

The preliminary approval includes a broker-dealer, investment, and management license. Upon a full launch, Kraken plans to offer services including UAE dirham (AED) funding, margin trading, over-the-counter (OTC) trading, and access to its institutional platform, Kraken Prime. The exchange stated that UAE clients will have access to its global order books spanning the United States, Europe, and Asia-Pacific markets, with deposits and withdrawals available in the local currency through a locally regulated subsidiary.

This development builds on Kraken’s existing regulatory footprint in the region, which includes a 2022 approval to operate within Abu Dhabi’s financial free zone framework. Company executives framed the move as part of a broader strategy to establish regulated operations in major global...