From Dubai’s Virtual Assets Regulation Authority, the platform is awarded a Preparatory License.
The Dubai Virtual Assets Regulatory Authority (VARA) has granted the Singapore-based cryptocurrency platform Crypto.com its minimal viable product (MVP) Preparatory License, the company said on Monday.
A provisional permit, a license for preparatory work, and an operating license are the three stages of the MVP license application process. Currently, Crypto.com is in the second stage of the process.
“Once licensed to be operational, Crypto.com will be able to extend its approved suite of duly regulated virtual asset activities spanning a range of cryptocurrency “Exchanges (spot and derivatives), brokerages, margin and leverage trading, and OTC settlements for institutional investors are among the offerings,” according to the announcement.
Dubai has published its legal framework for cryptocurrencies, which includes seven activity-based rulebooks and four mandatory rulebooks for service providers. All companies associated with cryptocurrencies must apply for the appropriate authorization and licensing.
Henson Orser, CEO of VARA, said, “We are pleased to welcome Crypto.com to the MVP Programme preparatory phase. As a result, the involvement of reputable players like Crypto.com will further our goal of creating a proactive regulatory framework.”
During the past several months, Crypto.com has experienced a range of lows and highs, including a banned advertisement in the U.K., job layoffs, and challenges keeping fiat on-ramps running in the face of the current banking crisis.