FTX, a cryptocurrency exchange, said Friday that it had been approved to operate in Dubai. This is as the Gulf emirate continues to push forward with its plans to develop its digital assets sector.
Bahamas-based company stated that it will offer regulated crypto derivatives products to institutional investors in Dubai and trading services, as well as operate nonfungible token markets and provide custodial and custodial services.
“Our license will also be extended to retail customers, but it will be a gradual scaling up to ensure we approach the retail sector within the guidelines established by the Virtual Assets Regulatory Authority, Dubai’s sector regulator,” Balsam Danhach (chief executive officer of FTX Middle East & North Africa) told Reuters.
The services will be provided by FTX Exchange FZE (a subsidiary of FTX’s divisions in Europe and Middle East).
The United Arab Emirates is on a mission, despite concerns from regulators elsewhere, to be a center for virtual asset industry.
Binance was also granted a virtual asset licence by Dubai to allow it to operate in the region. This has led to an increase in hiring in the city.
FTX received a partial license in March from Dubai, when it announced it would set up a regional headquarters in the city.
Danhach didn’t elaborate on if FTX planned to expand or seek licenses in other parts of the Gulf.
FTX has invested in struggling crypto companies that are suffering from a sharp drop in currencies in recent months.
(This story has been corrected at paragraph 3. Balsam Danhach, not FTX Middle East or North Africa’s CEO, is now the CEO.
