FTX gets the green light to run a cryptocurrency exchange in Dubai

Cryptocurrency exchange FTX has received the green light to operate an exchange and clearing house services in Dubai, United Arab Emirates. FTX Exchange FZE, a subsidiary of FTX Europe, has been authorized to participate in the Dubai MVP (Minimum Viable Product) initiative for virtual assets.

The jurisdiction’s Virtual Assets Regulatory Authority (VARA) has issued the license, which Dubai established in March this year to manage the regulation of virtual assets to become an engine of the digital economy. It is an affiliated entity of the Dubai World Trade Center that regulates cryptocurrency businesses ranging from custodians to wealth managers. HE Helal Saeed Almarri, chief executive of the Dubai World Trade Center Authority, said:

“The MVP phase, exclusive to selected and responsible international players such as FTX, will allow VARA to carefully structure the risk mitigation guidelines and levers for safe trading operations”.

According to the release, FTX is the first virtual asset service provider to be licensed. It enables the exchange to operate its own exchange and clearinghouse services and to provide cryptocurrency derivatives and trading services to qualified institutional investors across the industry. It also includes a license to operate its non-fungible token market (NFT) and escrow services.

FTX received partial approval in March when it said it wanted to dock a regional office in Dubai once it received a full license. Exchange Binance is also going through the regulatory process, obtaining a limited license from VARA in April of this year.

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