- CoinMENA, a Bahrain-based crypto exchange, has received a VASP license from Dubai’s Virtual Assets Regulatory Authority (VARA) to operate in the UAE.
- The license enables CoinMENA to provide seamless fiat-to-crypto transactions in UAE dirhams, catering to both retail and institutional customers.
CoinMENA’s Milestone in Crypto Regulation
CoinMENA, a prominent cryptocurrency exchange headquartered in Bahrain, has secured a significant foothold in the United Arab Emirates (UAE) crypto market. This strategic advancement was marked by obtaining a virtual asset service provider (VASP) license from Dubai’s Virtual Assets Regulatory Authority (VARA).
The news is out! CoinMENA is officially licensed in Dubai.https://t.co/lbOq7GHtti
— CoinMENA | كوين مينا (@CoinMENA) December 13, 2023
Enhanced Services in the UAE
With this new VASP license, CoinMENA FZE, the Dubai subsidiary of CoinMENA B.S.C., is now authorized to offer a range of broker-dealer services in virtual assets. This development comes one year after the exchange first received a provisional license from the Dubai regulator.
A notable aspect of this licensing is the ability for CoinMENA to facilitate transactions in UAE dirhams, streamlining the process for both retail and institutional investors. This eliminates the need for foreign exchange considerations, making crypto trading more efficient and cost-effective.
Dubai’s Evolving Crypto Landscape
Dubai’s commitment to becoming a global hub for crypto and digital asset financial services has been reinforced by the regulatory clarity provided by VARA. CoinMENA’s co-founders, Dina Sam’an and Talal Tabbaa, emphasized the importance of aligning with local regulatory frameworks to foster growth and innovation in the crypto sector.
Strategic Partnerships and Regional Impact
CoinMENA’s collaboration with digital banking platform Zand exemplifies its integration into the region’s financial ecosystem. The exchange, already regulated by the Central Bank of Bahrain (CBB) since 2021, holds a category-3 crypto asset service provider license. This enables it to serve users across the Gulf Cooperation Council member countries.
The new license from Dubai’s VARA specifically caters to UAE-based users, while the Bahrain entity continues to serve the broader customer base.
The Competitive Future in Dubai’s Crypto Hub
CoinMENA’s entry into the UAE market adds to the growing list of active VASP licensees, including crypto investment platforms and digital asset firms. The company acknowledges the increasingly competitive landscape in Dubai, which is rapidly positioning itself as a global center for cryptocurrency innovation and commerce.
As Dubai continues to attract international crypto players, CoinMENA is poised to leverage its newly granted VASP license to expand its presence and influence in the Middle East’s burgeoning digital asset market.