European Crypto Exchange Bitpanda Secures In-Principle Approval in Dubai

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As a seasoned crypto investor with over a decade of experience under my belt, I can’t help but feel a sense of optimism and excitement upon hearing about Bitpanda’s expansion into Dubai. Having navigated through various regulatory landscapes and market cycles, I understand the importance of regulatory compliance and the strategic value of entering markets with forward-thinking frameworks.

In simple terms, Bitpanda, a prominent European cryptocurrency trading platform, has been given preliminary approval by the regulatory bodies in Dubai, allowing them to operate within the region according to local laws and regulations.

On December 16th’s public statement, it was disclosed that the city’s Virtual Assets Regulatory Authority (VARA) had issued a license to Bitpanda after carefully examining their compliance procedures over a period of eight months.

Partial Licensing Framework

With preliminary approval, the company is now allowed to offer certain services temporarily before receiving a full license. Currently, users can trade cryptocurrencies like Bitcoin and Ethereum directly on the platform. It’s important to note that Bitpanda plans to operate in the region as Bitpanda Broker MENA DMCC once it has been officially licensed by the authorities.

The approval is based on the exchange’s past achievements in that region. This year, Bitpanda set up an office in Dubai at the DMCC Crypto Centre and assembled a team of local specialists to expand their operations there.

Moreover, the business established strategic alliances with significant financial entities, such as the RAKBANK and CoinMENA, a top cryptocurrency platform licensed in the UAE, to bolster its standing for future expansion.

RAKBANK collaborates with Bitpanda_global Technology Solutions, a prominent digital asset tech firm, enabling UAE residents to explore diverse applications of digital assets in a safe and streamlined manner.

When fully launched, RAKBANK customers will be…

— RAKBANK (@RAKBANKlive) August 19, 2024

In simpler terms, Eric Demuth, the CEO and co-founder of the company, stated that Dubai will be the starting point for their exchange’s global growth and expansion plans.

Across Europe, we’ve earned a strong reputation as a reliable and regulated platform for digital assets. We’re now expanding this successful model worldwide, with Dubai and the UAE acting as our starting point for global growth. The possibilities are vast, and we’re ideally suited to capitalize on them – not only as Europe’s leading cryptocurrency broker but also as a key player in the digital asset infrastructure,” he noted.

Dubai: A Strategic Choice

As a licensed European exchange, Bitpanda expressed interest in Dubai because of the UAE’s progressive regulatory environment. Additionally, the region’s reputation as a leading global center for digital assets was a significant factor in choosing Dubai for their initial expansion beyond Europe.

Established in 2014 and based in Vienna, Austria, Bitpanda has primarily served the European market so far. The versatile platform provides an extensive array of digital assets, encompassing various cryptocurrency-related investment options like exchange-traded funds (ETFs).

Similarly to Bitpanda, crypto exchange OKX has also ventured into the UAE market recently. In October, they officially launched a local platform catering to both retail and institutional investors. This event was marked by a grand gala, titled “A New Alternative for Dubai”, held at the Museum of the Future, where key executives, including OKX CEO Star Xu, were present.

During that very month, the blockchain payment facilitator Ripple received clearance to delve into Dubai’s market. The preliminary license bestowed upon them by the Dubai Financial Services Authority (DFSA) allows Ripple to provide its services from the Dubai International Financial Centre.

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2024-12-16 16:34