Update Sept. 16, 11:51 am UTC: This article has been updated to include quotes from a Bybit spokesperson.
Bybit, the world’s second-largest crypto exchange by derivatives volume, has secured a provisional license in Dubai two years after setting up its headquarters in the city.
The centralized crypto exchange (CEX) has received a non-operational license from the Virtual Asset Regulatory Authority (VARA), according to an announcement shared with Cointelegraph.
According to Helen Liu, Bybit’s Chief Operating Officer, the new license represents a major milestone in the company’s global expansion strategy, driven by Dubai’s ambition to become a leading blockchain hub.
She told Cointelegraph:
“Dubai’s strategic location, progressive policies, and innovation-driven environment offer unparalleled opportunities for businesses and investors in the cryptocurrency sector.”
An increasing number of crypto companies are relocating to Dubai, which is quickly establishing itself as a global hub with crypto-friendly regulations.
In a significant regulatory development, UAE regulators will allow Dubai-licensed virtual asset service providers (VASPs) to service the entire country, the Securities And Commodities Authority (SCA) and VARA announced on Sept. 9.
Related: Crypto and commodities poised for massive rally, says market analyst
Bybit vying for operational crypto license in Dubai
While the provisional license enables Bybit to serve both retail and institutional investors in Dubai, the exchange continues to work toward a full operational license in the region.
The exchange moved its headquarters to Dubai in 2022 and recently renewed its partnership with the Dubai Multi Commodities Crypto Centre (DMCC) — transitioning from an ecosystem partner to a key advisory role.
Bybit chose Dubai thanks to the regulatory foresight on the emerging digital asset industry, a Bybit spokesperson told Cointelegraph:
“A full license would be meaningful in more ways than one for Bybit as we expand our global footprint from the heart of Dubai and bring crypto opportunities home for one of the fastest growing economies in the world.”
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