Kraken parent clears Dubai’s final hurdle for dirham trading rollout
Reported by Cointelegraph · AI-assisted summary by ChikoCorp AI News Desk
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Summary
Payward, the parent company of cryptocurrency exchange Kraken, has received final approval from Dubai's Virtual Assets Regulatory Authority (VARA) for its local entity, Payward FZCO, to provide crypto services. This approval allows Kraken clients in the UAE to trade spot and margin pairs denominated in UAE dirham (AED) and make direct deposit withdrawals. The company aims to launch these services in the coming weeks.
Why it matters
According to the source, this development enables Kraken to serve retail, professional, and institutional investors in the UAE with locally regulated crypto trading options. It highlights growing regulatory support in the UAE for crypto service providers, potentially expanding market access within the region. The source does not elaborate further on broader market or policy impacts.
Key context
VARA issued Payward FZCO a virtual asset service provider (VASP) license on October 6, allowing management, investment, and broker-dealer services. This approval follows Payward’s preliminary regulatory clearance in May 2026. Dubai’s VARA registry has grown to 58 licensed providers, up from 49 in May 2026, indicating an expanding crypto regulatory environment. Other financial institutions, like Standard Chartered and Capital.com, are also increasing crypto service offerings in the UAE under different regulatory bodies.
Key numbers and entities
The main entities are Payward (Kraken’s parent company), Payward FZCO (its UAE entity), and the Virtual Assets Regulatory Authority (VARA). VARA granted the license on October 6. The registry now lists 58 licensed virtual asset providers, up from 49 in May 2026. Other mentioned organizations include Standard Chartered and Capital.com.
What remains unclear
The source does not provide details on the exact launch date, the range of AED-denominated pairs to be offered, or the specific terms and conditions of the trading and withdrawal services. It also does not discuss regulatory requirements or compliance measures Payward FZCO must maintain post-approval.