Institutional clients and investors in Dubai may now use the virtual asset custody services offered by Hong Kong-based institutional Bitcoin asset custodian Hex Trust.
The company established up shop in Dubai in June 2022 and was granted a complete virtual asset service provider (VASP) license as of November 15 by the Dubai Virtual Asset Regulatory Authority (VARA).
This comes after the business obtained an operating license for a Minimal Viable Product (MVP) in February 2023. It is now completely permitted to operate inside the jurisdiction as a result of this most recent development.
Hex Trust’s Regional Director of MENA, Filippo Buzzi, commented on the clearance, emphasizing that it places the business in a growing but exclusive group of cryptocurrency exchanges and service providers that are completely permitted to operate in Dubai.
Buzzi also underlined the company’s dedication to growing in the Middle East, pointing to the region’s progressive laws, supportive policies, and thriving cryptocurrency scene as major factors contributing to the rise of digital assets.
In August 2023, Hex Trust received regulatory license from France to expand its services to businesses there. The company keeps a global footprint with offices in Hong Kong, Singapore, Vietnam, Dubai, Italy, and France.
Dubai Crypto Expansion
Because of its service-oriented economy and the extensive framework of crypto legislation put in place last year, Dubai has become a center for cryptocurrency enterprises.
The industry’s specific regulatory agency, VARA, has played a key role in monitoring these advancements. Due to the city’s supportive policies towards digital assets, several big and small cryptocurrency businesses are interested in locating here and applying for local licenses.
Renowned companies, including OKX, Ripple, Binance, Crypto.com, and Bybit have already obtained VASP licenses from VARA. Komainu, a collaboration between Nomura, CoinShares, and Ledger that provides institutional clients with custody and staking services, is another new licensee of the complete VASP.
There are three steps involved in obtaining a VARA license in Dubai: an MVP license, a full market product license, and provisional clearance. The investing community in the United Arab Emirates is becoming more upbeat about cryptocurrencies.
According to a KuCoin survey, 59% of UAE cryptocurrency users see digital assets as a dependable store of value and a long-term investment. Furthermore, 35% of respondents think cryptocurrency might help diversify their investing portfolios.
Co-founder and CEO of Hex Trust, Alessio Quaglini, expressed excitement about the potential in Dubai and looked forward to growing the business there:
“There is so much potential in the Emirate of Dubai. We’re excited to continue to scale our business in the region and make a positive contribution to the virtual asset ecosystem.”
