UAE deepens its crypto push as Bybit wins full license and institutions move in
The United Arab Emirates (UAE) advanced its push to become a leading digital asset hub as crypto exchange Bybit received a full virtual asset platform operator license from the Securities and Commodities Authority (SCA). The permit enables Bybit to provide its entire range of products to UAE residents, the company said in an Oct. 9 press release.
The clearance marks the culmination of a process that began when Bybit received preliminary approval from the SCA in February. The exchange says it is the first to complete the full licensing journey and notes that 2025 has been a year of major compliance wins, including new credentials in Europe and a return to the Indian market.
BitGo broadens institutional reach in Dubai
Institutional infrastructure is expanding alongside retail access. Crypto custody firm BitGo secured a broker-dealer license from Dubai’s Virtual Assets Regulatory Authority (VARA). The new authorization allows BitGo MENA to deliver regulated trading and intermediation services across the region through an integrated OTC desk and a digital platform supporting spot crypto trading in both dirhams and U.S. dollars.
The UAE’s welcoming attitude toward digital assets is changing how major investors think about wealth. The Bitcoin Historian said on X that The Kanoo Group, which oversees about $20 billion in assets, intends to invest in Bitcoin. Bloomberg has reported that affluent families across the region are gradually diversifying beyond real estate and private enterprises. With around $1 trillion expected to shift to younger generations soon, many heirs are looking to allocate more toward cryptocurrencies, tokenized funds, and tokenized real-world assets (RWAs).
New fund marks progress in tokenized finance
That growing appetite for digital exposure is now being met with new products. Last month Qatar National Bank (QNB) Group joined forces with Standard Chartered and DMZ Finance to launch the first regulated tokenized money market fund in the Dubai International Financial Centre. Using blockchain technology, the QCD Money Market Fund brings traditional financial assets on-chain, creating new yield opportunities for investors within the digital economy. The fund is managed by QNB Group, uses infrastructure provided solely by DMZ Finance, and has Standard Chartered serving as custodian of its assets.
As the UAE deepens its role in global finance, regulators are also working to align with international standards. By 2027, it expects to adopt the OECD’s Crypto-Asset Reporting Framework (CARF), with cross-border data exchanges to begin in 2028. The Ministry of Finance has already signed the Multilateral Competent Authority Agreement to make this happen. The framework promotes automatic sharing of crypto-related tax information among member countries, underscoring the UAE’s commitment to global transparency as it expands its financial footprint.
Recent developments show the jurisdiction striving for growth while strengthening oversight. Exchanges are gaining clarity on what they can offer, institutions are building trading rails, and investors are embracing tokenized products. They signal a market finding its balance between innovation and regulation. The coming years will reveal how well that balance can hold.
