Ripple just secured a Dubai Financial Services Authority (DFSA) license to provide regulated crypto payments in the Dubai International Financial Centre (DIFC), according to a press release on Thursday.
This makes it the first blockchain payments company approved by the DFSA, giving it the green light to operate legally in the UAE’s $40 billion cross-border payments market.
Ripple enters the UAE’s regulated payments market
Brad Garlinghouse, Ripple’s CEO, made it clear that the company sees regulatory clarity as the key to crypto’s next phase of growth.
“We are entering an unprecedented period of growth for the crypto industry, driven by greater regulatory clarity around the world and increasing institutional adoption,” said Brad in the press release. He pointed to the UAE’s early support for crypto as a major reason why the country is primed to benefit from Ripple’s expansion.
The UAE has undoubtedly become a global finance hub, and the DIFC’s approval of Ripple reinforces that. The $40 billion cross-border payments market is massive, and Ripple’s focus on cutting transaction costs and settlement times is apparently exactly what businesses have been looking for.
A September 2024 survey of Middle East and Africa (MEA) finance leaders by Ripple itself reportedly showed that 64% of them believe faster payments are the biggest advantage of blockchain-based solutions.
Arif Amiri, CEO of DIFC, said, “We are thrilled that Ripple is deepening their commitment to Dubai by securing a DFSA license that makes them the first blockchain-enabled payments provider in DIFC.”
Arif added that Ripple’s regulated entry into the UAE would create new opportunities for growth across the region and beyond.
For Ripple, the DFSA license adds to a long list that includes a Major Payments Institution license from the Monetary Authority of Singapore (MAS), a New York Department of Financial Services (NYDFS) Trust Charter, and a Virtual Asset Service Provider (VASP) registration from the Central Bank of Ireland.
The company also holds Money Transmitter Licenses (MTLs) in many US states, according to its release. Meanwhile, this is coming as rumors of Ripple’s case with the US SEC ending continue to get louder.
Under the new pro-crypto administration, the SEC has dropped its cases against many crypto companies, namely Coinbase, Kraken, and Gemini, so there were expectations of Ripple getting off too, seeing as its case is the most infamous of the bunch.
But the company would still have to pay some heavy fines after an August ruling by Judge Analisa Torres, and Ripple doesn’t see why it should have to do that, so that’s why it’s taking so long.
