In significant development within the cryptocurrency industry, OKX Middle East Fintech FZE, the global cryptocurrency exchange OKX subsidiary, has secured a license from the Dubai Virtual Assets Regulatory Authority (VARA).
This pivotal milestone allows OKX to expand its cryptocurrency services, including fiat transactions, spot services, and spot pairs, targeting institutional and qualified retail customers in the United Arab Emirates (UAE). With Dubai emerging as a prominent hub for crypto enthusiasts, this regulatory approval marks a crucial step for OKX in the Middle East region.
Dubai’s thriving crypto ecosystem
The United Arab Emirates, specifically Dubai, has rapidly gained recognition as an attractive destination for cryptocurrency ventures. The newly granted Virtual Assets Services Provider (VASP) license from VARA positions OKX Middle East Fintech FZE at the forefront of the burgeoning cryptocurrency ecosystem in Dubai.
While OKX Middle East Fintech FZE was previously issued a preparatory license by VARA in June of the preceding year, this recent announcement elevates the subsidiary’s status to full operational capability.
This license empowers OKX to offer an array of services to UAE residents, including spot trading, fiat-related services involving deposits and withdrawals in United Arab Emirates dirham (AED), and introducing local currency trading pairs such as AED/BTC and AED/ETH.
Expansion of services and trading pairs
The issuance of the VASP license signifies the regulatory approval for OKX Middle East Fintech FZE to broaden its cryptocurrency services in the UAE. This expansion encompasses fiat transactions, spot services, and spot pairs, catering to both institutional clients and qualified retail customers.
OKX Middle East Fintech FZE General Manager for the MENA Region, Rifad Mahasneh, commented on this development, saying,
“This allows us to offer services to UAE residents, which we’re going after, including spot trading and fiat-related services, which means deposits and withdrawals of local currency, United Arab Emirates dirham (AED). In addition, we’ll be offering local currency trading pairs, so AED/BTC, AED/ETH, and the others, which is something new that we’re doing.”
Dubai’s rapid ascent as a favored destination for crypto enthusiasts can be attributed to its progressive regulatory framework, robust infrastructure, and pro-innovation stance. The region has actively embraced blockchain and cryptocurrency technologies, fostering an environment conducive to innovation and development.
OKX, presently ranked as the world’s second-largest cryptocurrency exchange by trading volume, continues to make significant strides in the global crypto industry. The acquisition of the operational VASP license from VARA further solidifies OKX’s commitment to offering its comprehensive services to users worldwide.
This milestone is expected to positively impact the cryptocurrency landscape in Dubai and the broader UAE region. The ability to offer fiat transactions, local currency trading pairs, and spot services positions OKX as a key player in the local market. Moreover, it facilitates broader access to cryptocurrency investment opportunities for institutional players and retail customers.