Revolut receives in-principle approval from Dubai’s Virtual Assets Regulatory Authority for a Virtual Assets Service Provider licence, moving the fintech closer to a full UAE crypto rollout. The approval covers broker-dealer, management and investment, and exchange services for digital assets across the emirate. Revolut must still secure final regulatory clearance before it can begin serving customers with these products. Joseph Khair, Head of Revolut Digital Assets FZE in the UAE, said the country continues to demonstrate global leadership in building a transparent framework for virtual assets. He called the approval a foundation for introducing regulated crypto services locally. Once fully licensed, eligible UAE customers will be able to buy, sell, and hold cryptocurrencies through Revolut’s main app and its standalone exchange platform, Revolut X. Both products will operate under VARA’s regulated framework. The announcement follows Revolut’s receipt of Stored Value Facilities and Retail Payment Services licences from the Central Bank of the UAE in June. Those approvals capped a process that began with preliminary clearance last September. VARA was established in Dubai in March 2022 under the city’s Virtual Asset Regulation Law, the first legislation in the emirate built specifically to govern virtual assets. The regulator said last month it had issued its fiftieth VASP licence. Applicants to VARA follow a two-stage licensing process, meaning in-principle approval alone does not permit a company to start serving customers. Revolut said it plans to keep working with the regulator to satisfy the remaining conditions. Dubai has already granted full VASP licences to major digital asset firms including Binance, Crypto.com, OKX, Deribit, BitOasis, and HashKey. Revolut’s approval positions it to join that group of regulated operators in the emirate. Revolut currently serves more than 75 million customers worldwide, with over 16 million of them using its existing crypto services in the United Kingdom and the European Economic Area. The company has been adapting its digital asset offerings to different regulatory regimes across markets. It recently confirmed plans to phase out support for Tether’s USDT in parts of Europe under new Markets in Crypto-Assets rules. Industry commentary framed the UAE approval as a notable move given regulatory pressure on crypto firms in parts of the West. Dubai’s clear licensing rules have continued to attract fintechs seeking a foothold with high-net-worth digital asset customers in the region.
