Kraken, one of many largest crypto exchanges on the earth, gained approval to function in Abu Dhabi on Monday. The alternate joins a widespread push into the Middle East, amid rising crypto adoption within the area.
The transfer was revealed in an announcement by Abu Dhabi’s market registration authority. The alternate is the primary to obtain a license to function a regulated, digital asset alternate from the Abu Dhabi Global Market monetary centre, the regulator mentioned.
The transfer comes amid elevated efforts by the United Arab Emirates (UAE) to turn into the subsequent crypto capital. Abu Dhabi had in 2018 handed crypto-friendly regulation, inviting ventures by a number of main crypto gamers.
Kraken units up Middle East HQ in Abu Dhabi
Kraken, which has over 9 million customers globally, arrange its Middle East headquarters in Abu Dhabi, the markets regulator mentioned.
The alternate acquired all of the required clearances from Abu Dhabi’s monetary regulator, and can “soon” enable buyers to commerce crypto instantly in UAE Dirham.
Curtis Ting, Managing Director of EMEA at Kraken lauded the UAE for having crypto-friendly legal guidelines, and mentioned the alternate plans to broaden additional within the Middle East and North Africa area “in the months and years ahead.”
Kraken’s approval additionally beats out that of world’s largest crypto alternate Binance, which solely holds an in-principle license to function in Abu Dhabi.
UAE attracts crypto buyers
But each Binance and Kraken lately secured licenses to operate in Dubai, one other main monetary hub within the UAE. The metropolis had additionally lately handed crypto-friendly legal guidelines to draw extra funding.
Binance established its world headquarters in Dubai. It can also be among the many few exchanges lately approved to function in Bahrain.
World no.2 crypto alternate FTX lately gained a license to operate in Dubai, and plans to arrange its regional headquarters within the metropolis. Smaller exchanges Bybit and Crypto.com additionally each lately gained licenses to function in Dubai.
The UAE is ranked third in crypto adoption within the Middle East, behind Turkey and Lebanon, in line with a 2021 report by blockchain analytics agency Chainalysis.
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