Zodia Markets Achieves Crypto Broker-Dealer Approval in UAE

Nomura-Backed Digital Exchange Acquires Trading License in DubaiKomainu, a digital exchange backed by Japanese financial services conglomerate Nomura, has achieved the milestone of acquiring an operational license in Dubai.The occasion marks a significant moment for Komainu’s expansion efforts in the Middle East, highlighting the progress the company has made in terms of regulatory approval. It follows Komainu’s previous success in obtaining its MVP license in November 2022, establishing the company as one of the first entities to receive such authorization from the local regulator.The operational license was granted by Dubai’s Virtual Asset Regulatory Authority (VARA) on Friday, with the firm being added to the regulator’s virtual asset service provider register.Photo by Emma Harrisova on UnsplashEnabling a broader service offeringWith this operational license in hand, Komainu is now equipped to introduce extended institutional staking and collateral management services to clients within Dubai. These services will be facilitated through Komainu Connect, a purpose-built platform tailored to cater to the precise needs of institutional clients.While Komainu is a Jersey-based entity, the company has an active presence in the Dubai market as it has established subsidiary firm Komainu MEA FZE, which is based within the city. This local presence indicates Komainu’s intention to play an active role in the institutional digital asset business in the region.Dubai growth potentialSebastian Widmann, Head of Strategy at Komainu, emphasized the exciting growth prospects that Dubai’s flourishing digital asset ecosystem offers. He noted that the region is currently experiencing an influx of assets driven by the launch of new exchanges.Widmann stated: “Dubai has a vibrant digital asset ecosystem and impressive talent pool, and we are proud to contribute to the growth of this innovative financial hub.” He further emphasized that Komainu’s presence and its favorable regulatory status position the company uniquely as it embarks on the next phase of its business journey.It’s been a good month for Nomura-backed digital asset businesses in Dubai. A few weeks ago, another Nomura-funded company, Laser Digital Middle East FZE, was also successful in acquiring an operating license from VARA.VARA’s approach to crafting regulations has been instrumental in fostering a framework that supports permissible activities and services for customers and investors in Dubai. These regulations are designed to enhance clarity, establish certainty, and mitigate potential market risks. VARA’s overarching objective is to create a model framework that promotes both global economic sustainability and innovation.Bridging market gapFounded in 2018, Komainu’s inception was driven by the need to bridge a gap in the market by delivering secure and compliant custody services for institutional players venturing into digital asset investments.Komainu’s foundation is built upon a strategic joint venture involving prominent entities such as Nomura, CoinShares, and Ledger. It acquired its first client for Komainu Connect, the firm’s regulated settlement and custody system for institutions, in June when it signed up Seychelles-based crypto exchange OKX to the service.Headquartered in Jersey, the Jersey Financial Services Commission (JFSC) and Dubai’s Virtual Asset Regulatory Authority (VARA) now provide regulatory governance where Komainu’s activities are concerned.

Japan's parliament passed landmark legislation on July 15 reclassifying cryptocurrencies as financial products under the Financial Instruments and Exchange Act, removing them from the Payment Services Act framework that had treated them as a means of settlement. According to CoinPost, the reform introduces insider-trading rules to the sector for the first time, raises penalties for unregistered dealing, and clears the way for domestic crypto ETFs. Under the changes, crypto exchange operators will be redesignated as "crypto asset trading businesses," and unregistered sales will carry prison terms of up to 10 years and fines of up to 10 million yen ($61,000), up from three years and 3 million yen. Gains will move from comprehensive taxation (where combined income and residence taxes can reach 55%) to a separate flat tax of around 20%, with losses eligible for a three-year carryforward, though those tax measures take effect only once the amended law is in force. If enforcement falls in fiscal 2027, the new rate would apply from Jan. 1, 2028.Photo by Kanchanara on UnsplashWeak yen drives crypto adoptionThe overhaul lands as Japanese companies increasingly turn to cryptocurrency as a treasury asset, with the yen's prolonged weakness pushing them to diversify their cash strategies, SBI VC Trade, the crypto exchange arm of financial conglomerate SBI Holdings, said. The exchange said it is seeing greater uptake of SBIVC for Prime, its service for corporate and large-lot clients, from companies looking to hold and use crypto. It is also fielding more business from listed firms that distribute Bitcoin (BTC) or XRP to shareholders through benefit programs, a practice the company said is spreading in Japan. The comments accompanied SBI VC Trade's announcement that its registered accounts topped 2 million as of July 6, double the 1 million it reported in 2025. The Tokyo-based firm attributed the growth in part to its April 2026 merger with fellow SBI Group exchange BitPoint Japan and to its stablecoin business. SBI VC Trade is Japan's only registered electronic payment instruments trading firm, the license category covering stablecoins. The company began offering USDC, the first U.S. dollar-denominated stablecoin available in Japan, in March 2025. In June 2026 it added JPYSC, which it describes as the country's first yen-denominated trust-type stablecoin, along with Ripple's dollar-pegged RLUSD, and launched a stablecoin lending service. The exchange plans to merge its two service brands around the end of December 2026. Separately, SBI Crypto, the group's mining unit, said it will shut down its mining pool on July 31. The pool will stop accepting mining shares at 7 a.m. Japan time, and the company urged customers to keep directing hashrate to the pool until the cutoff so that all eligible shares are included in the final payout. SBI Crypto said it has held discussions with other pool operators, some of which may offer preferential terms to migrating clients. Metaplanet expands into securitiesIn another sign of crypto's deepening ties with Japanese finance, Siiibo Securities, an online platform for privately placed corporate bonds, has changed its name to Metaplanet Securities after joining the Metaplanet group, the Tokyo-listed company known for its large BTC treasury. Siiibo, which holds a Type I financial instruments business license, said it plans to build a platform combining BTC and finance, developing products for retail investors that draw on its new parent's BTC management expertise while continuing to serve yield-seeking investors. Remixpoint discloses crypto yieldsListed energy and crypto firm Remixpoint, meanwhile, disclosed returns on its digital asset holdings as of the end of June. The company said it has earned a cumulative 9.95 BTC, worth roughly 108 million yen based on monthly average rates, from lending its BTC. Staking of altcoins has generated about 27.9 million yen in total, comprising roughly 10.1 million yen from ETH and 17.8 million yen from SOL, the company said, adding that it will continue building a financial structure that generates recurring income. 

Former FTX COO Finds New Role at Sino GlobalConstance Wang, previously known for her executive roles at FTX, has recently joined crypto venture capital firm Sino Global Capital.That’s according to sources Bloomberg cited in a recent report as being familiar with the matter. Wang held the role of Chief Operating Officer at FTX and was also the Co-Chief Executive Officer of FTX Digital Markets, the affiliate of the now-defunct crypto exchange, which was based in the Bahamas. Her responsibilities at FTX included overseeing global business expansion, token listings, and public relations and marketing.Following the collapse of FTX and its sister trading firm Alameda Research, Wang has reportedly spent a significant amount of time in China, according to an undisclosed source.Sino Global Capital, founded in 2015 by Beijing-based American investor Matthew Graham, had revealed its early investment in FTX after the exchange’s collapse. The management team stems from a background in consulting, Wall Street, private equity, government, and corporate spheres. A year prior, the venture capital firm launched a $200 million fund with FTX as a key investor. Sam Bankman-Fried, the Founder of FTX, expressed gratitude for Sino Global’s support, stating that they believed in the FTX vision from the beginning and assisted in making it a reality.Photo by Henry Kobutra on UnsplashLawsuitGraham was quite public in his support of FTX and Sam Bankman-Fried. He appeared frequently on podcasts, always explaining that the FTX founder was a genius. On investing in FTX and in projects in general, Graham stated repeatedly that Sino Global maintained a high level of due diligence. Most of the leading venture capital investors in FTX (including Sino Global) have been subject to class action lawsuits filed by creditors. It’s claimed that many of these investors didn’t simply invest capital but also got involved in actively marketing what turned out to be a fraud.In January, the court-appointed management team overseeing the FTX bankruptcy proceedings sought permission to subpoena Wang and other former executives of the company. Court filings indicate that Wang has not been accused of any wrongdoing in relation to the collapse of FTX or Alameda.Prior to her tenure at FTX, Wang briefly worked at the crypto exchange Huobi in Singapore as a Business Development Manager. She also spent two years as an analyst at Credit Suisse.New rolesIn recent months, other former FTX employees have also reappeared in new roles. Amy Wu, who left Lightspeed Venture Partners to lead FTX Ventures, announced her joining Menlo Ventures, one of the oldest venture firms in Silicon Valley. Brett Harrison, former President of FTX US until his sudden resignation in September 2022, has founded a startup with plans to provide a “GPT-4-powered trading algorithm code generator.”The transition of Constance Wang and her fellow FTX alumni into new positions at face value seems like a logical progression. However, all of the FTX c-suite executives remain under ongoing scrutiny. Having brought charges against Bankman-Fried, Caroline Ellison, and Nishad Singh some months ago, Southern District of New York (SDNY) Attorney Damian Williams stated clearly that more arrests would follow.