Payward Secures Dubai Crypto License, Enabling Expanded Services in UAE

Payward FZCO, the UAE entity of Kraken’s parent company, has been granted a Virtual Asset Service Provider (VASP) license by Dubai’s Virtual Assets Regulatory Authority (VARA), allowing it to offer a range of cryptocurrency services in the United Arab Emirates. The license, issued on October 6, follows a preliminary approval received in May.

With this VASP license, Payward is authorized to provide management and investment services, broker-dealer services, and spot and margin trading in AED-denominated pairs. Kraken clients in the UAE will also be able to access direct deposit withdrawals. Payward announced on Monday that it is targeting a launch of these services in the coming weeks.

The approval signifies a development for Kraken’s presence in the UAE, a region actively developing its digital asset regulatory framework. VARA’s public register currently lists 58 licensed providers, an increase from 49 active companies noted in May. This expansion by Payward occurs within a broader trend of financial institutions increasing their crypto offerings in the UAE.

Other entities have also secured regulatory approvals in the region. Standard Chartered launched spot Bitcoin and Ether trading for institutional clients through its Dubai International Financial Centre branch, regulated by the Dubai Financial Services Authority. Additionally, Capital.com has announced plans to offer spot crypto services in the UAE after its affiliate, Capital Vault, obtained a virtual-asset license from the country’s Capital Market Authority (CMA).

Payward’s new license permits it to serve retail, professional, and institutional investors, indicating a comprehensive approach to market engagement in Dubai.

Why This Matters

The materials describe a narrow update: Payward FZCO, the UAE entity of Kraken’s parent company Payward, has been granted a Virtual Asset Service Provider (VASP) license by Dubai’s VARA. Increased regulatory activity in Dubai’s crypto sector.

Broader Context

Source materials place the factual news in this context: Payward received full market approval from Dubai’s VARA to expand its digital asset services in the UAE, building on the preliminary approval received in May.