FTX has become the first crypto exchange to win approval to operate in Dubai.
FTX plans to establish a regional headquarters in the city and offer “crypto-derivative products with centralized counterparty clearing to institutional markets,” said CEO Sam Bankman-Fried.
The UAE has emerged as one the most crypto-friendly countries and recently passed laws approving virtual assets. It also founded the Dubai Virtual Assets Regulatory Authority with the intention of making the emirate the main crypto hub in the region.
Dubai launches a major offensive to attract crypto companies
And the authorities in its capital, Dubai, have stepped up their efforts to allow the development of the crypto industry. As previously reported, UAE regulators proposed several deals to allow crypto trading in several free economic zones in Dubai last year.
Sheikh Mohammed bin Rashid Al Maktoum, the Prime Minister of UAE, considers this move “a step that establishes the UAE’s position in this sector. The Authority will cooperate with all related entities to ensure maximum transparency and security for investors.”
“The certainty and credibility Dubai provides in adhering to these commitments allows FTX to safely pursue its global scaling strategy to become the first virtual asset service provider to enter global markets in a meaningful way. fully regulated,” Patrick Gruhn of FTX Europe told Bloomberg.
Second major announcement by FTX this month
On March 7, FTX announced it would open headquarters in Cyprus to launch operations in Europe and the Middle East.
The FTX Europe branch of the crypto exchange will operate in both regions and, according to Bloomberg, will be based at the Dubai World Trade Centre.
The exchange is valued at $32bn after raising $400m in its Series C funding round.
Binance also announced that it is in talks to acquire an operating license in Dubai. It also secured the first license for a global crypto-asset provider in Bahrain.
