Dubai Cracks Open to Dirham-Denominated Crypto Trading

Overview

Payward, the parent company of cryptocurrency exchange Kraken, has received full market approval from Dubai's Virtual Assets Regulatory Authority (VARA) to expand its digital asset services in the UAE. This approval enables Payward FZCO, the local entity of Payward, to provide crypto services to retail, professional, and institutional investors. The company is targeting a launch in the coming weeks, with clients in the UAE able to access spot and margin trading in UAE dirham-denominated pairs and make direct deposit withdrawals.

Regulatory Environment

Dubai's VARA registry currently lists 58 licensed providers, up from 49 active companies in May 2026. Banks and brokers are also expanding their crypto offerings under the UAE's other regulatory regimes. For instance, Standard Chartered has launched spot Bitcoin and Ether trading for institutional clients in the UAE through its Dubai International Financial Centre branch, which is regulated by the Dubai Financial Services Authority. Similarly, trading platform Capital.com has revealed plans to offer spot crypto services to clients in the UAE after its affiliate, Capital Vault, secured a virtual-asset license from the country's Capital Market Authority (CMA).

Market Impact

The approval marks a significant milestone for Payward's expansion into the UAE market, following a preliminary approval in May 2026. With this approval, UAE residents will have access to a wider range of cryptocurrency trading options, including spot and margin trading in dirham-denominated pairs. This expansion is expected to attract more investors to the UAE's growing cryptocurrency market.

Conclusion

The approval of Payward FZCO by Dubai's VARA is a significant development for the UAE's cryptocurrency market. With the company's expansion into the UAE, UAE residents will have access to a wider range of cryptocurrency trading options, and the market is expected to continue growing in the coming weeks.