March 20, 2023

Crypto.com Obtains VARA’s MVP Preparatory License

Crypto.com Obtains VARA’s MVP Preparatory License Featured Image

Crypto.com cryptocurrency exchange announced that it had received its Minimal Viable Product (MVP) Preparatory license from Dubai’s Virtual Assets Regulatory Authority (VARA), the world’s pioneering regulator of digital assets. 

The announcement was made by the crypto exchange on Twitter, saying: “We’re proud to announce our latest milestone in global regulatory compliance and licensure. Crypto.com has secured its MVP Preparatory License from the Virtual Asset Regulatory Authority in Dubai.”

Under the MVP Preparatory license, Crypto.com is allowed to all pre-conditions required to operate within the VARA regime. It is worth noting that the cryptocurrency exchange obtained provisional approval from Dubai’s regulator last year. 

Once the license became operational, Crypto.com, which is founded in 2016, will expand its digital asset-related activities by offering a series of crypto exchange services (spot and derivatives), brokerage, margin/leverage trading, and OTC offerings around settlements for institutional investors. 

In this regard, Henson Orser, the chief executive officer of VARA, welcomed Crypto.com’s obtaining of the MVP Programme preparatory license, saying: “VARA’s regulatory framework will be instrumental in creating and managing a unique, resilient, and securely future-proofed ecosystem that delivers a sustainable and thriving global best-in-class VA market with secure cross-border interoperability. As such, participation from credible players like Crypto.com will further our mission of delivering a progressive and future-focused regulatory framework.” 

Meanwhile, Crypto.com CEO Kris Marszalek hailed his company’s receipt of the license, noting such a license is a significant step for his company in the crypto industry, adding he looks forward to offering the most comprehensive and secure crypto experience to consumers. 

Earlier in February, VARA issued new guidelines for virtual asset service providers to ensure economic sustainability and cross-border financial security.

According to a press release by the Government of Dubai, the Virtual Assets and Related Activities Regulations 2023 seeks to reach greater clarity on the expected level of operator responsibility by offering gold-standard risk assurance and Anti-Money Laundering (AML) standards, which all licensed entities in Dubai are expected to adhere.

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