In a significant development for the United Arab Emirates’ burgeoning virtual asset market, OKX, a global on-chain technology company, has launched a licensed cryptocurrency exchange for both retail and institutional investors in the UAE. This move comes shortly after the Virtual Assets Regulatory Authority (VARA) intensified its efforts to safeguard Dubai’s virtual asset ecosystem by targeting unlicensed firms operating within its jurisdiction.

VARA recently announced the issuance of cease-and-desist orders, accompanied by fines, to seven entities found operating without the requisite licences and breaching marketing regulations. This enforcement action underscores the authority’s commitment to establishing a secure and compliant virtual asset environment in Dubai. By cracking down on unlicensed operations, VARA aims to protect investors and uphold international standards for virtual asset industry governance.

OKX’s Gala Launch at the Museum of the Future

OKX marked its UAE debut with a gala event titled “A New Alternative for Dubai” at the Museum of the Future. The event featured notable figures such as OKX CEO Star Xu, Manchester City men’s first team manager Pep Guardiola, founder and managing partner of SkyBridge Capital Anthony Scaramucci, Polygon co-founder Sandeep Nailwal, Stacks co-creator Muneeb Ali, and CEO of the Dubai Blockchain Center, Dr Marwan Al Zarouni.

Rifad Mahasneh, General Manager of OKX Middle East, expressed enthusiasm about the launch, stating: “We’re thrilled to be the first global crypto exchange to launch with a full operating licence for retail and institutional clients in the UAE. We’ve brought leaders and visionaries from diverse backgrounds to tonight’s event to discuss the bright future of this space in the country and region and its impact on business sectors. We’re deeply committed to growing locally, and our product development reflects this commitment. Tonight’s celebration is just the beginning of a long-term journey.”

Access to a Wide Range of Services

UAE residents who complete the required onboarding steps on the OKX app and website can now access various services, including spot trading, convert, express buy and sell, and on-chain earning products. Qualified and institutional investors who meet specific criteria will also have access to derivatives trading. To qualify as ‘qualified’ investors, individuals must pass a knowledge test, a suitability assessment, and provide proof of having AED 500,000 in liquid assets. Institutional investors must meet additional Know Your Customer (KYC) requirements and demonstrate certain financial thresholds.

OKX boasts the widest selection of cryptocurrencies and trading pairs in the UAE market, offering over 280 cryptocurrencies and 480 trading pairs, including BTC/AED, ETH/AED, and USDT/AED. Investors can deposit and withdraw AED directly to and from the OKX platform via local bank accounts, enhancing the ease of transactions for UAE users.

Commitment to Local Growth and Innovation

The gala event emphasised the transformative potential of blockchain technology across various industries. Dubai was chosen as the host city due to its strategic position at the forefront of technological innovation and in alignment with its 2033 vision. The event facilitated discussions on how blockchain could revolutionise business sectors and contribute to a more efficient, transparent, and connected future.

OKX’s launch in the UAE represents another milestone in the company’s global expansion strategy. Earlier in the year, OKX entered markets in Brazil, Türkiye, Australia, and the Netherlands. The company also received a Major Payment Institution (MPI) licence from the Monetary Authority of Singapore (MAS) and designated Malta as its Markets in Crypto-Assets (MiCA) hub, enabling it to offer products and services to over 450 million EU residents in the coming months.

Enhancing Security and Risk Management

In line with its commitment to security and risk management, OKX announced the appointment of Yuri Mushkin as Global Chief Risk Officer. Mushkin brings over two decades of capital markets and risk management experience, having held executive roles at multinational firms such as Goldman Sachs and McKinsey & Company.

OKX has been proactive in promoting transparency and trust within the crypto industry. The company was among the first to publish monthly Proof of Reserves in late 2022 to validate the full backing of customer funds held on the platform. With 23 consecutive monthly snapshots published, OKX continues to advocate for improved reporting standards within the industry.

User Incentives and Support

To celebrate its launch, OKX has introduced a reward of up to 100 AED for new customers to try the new app. The company plans to list more tokens for UAE customers in the near future, encouraging users to check their platform for the latest offerings. Additionally, OKX provides Arabic language customer support on both its website and app, catering to the local user base.

UAE residents can access the OKX platform by visiting the website or downloading the app from the App Store or Google Play. Upon completing the verification process, users can start trading and take advantage of the platform’s extensive services.

About OKX and VARA

OKX is a technology company with a mission to organise the world’s blockchains and make them more accessible and useful. Starting as a crypto exchange, it has evolved to offer a connected on-chain wallet used by millions to access decentralised crypto applications (dApps). OKX is trusted by hundreds of large institutions seeking access to crypto markets on a reliable platform that seamlessly integrates with global banking and payments.

Established in March 2022, VARA is the competent entity in charge of regulating, supervising, and overseeing virtual assets and virtual asset activities across the Emirate of Dubai, including Special Development Zones and Free Zones, excluding the Dubai International Financial Centre. VARA plays a central role in creating Dubai’s advanced legal framework to protect investors and establish international standards for virtual asset industry governance.

OKX’s entry into the UAE market as a licensed crypto exchange marks a significant step in the region’s adoption of virtual assets. Coupled with VARA’s stringent regulatory measures to eliminate unlicensed operations, these developments signify a maturing virtual asset ecosystem in Dubai. The collaboration between regulatory authorities and industry leaders like OKX is poised to foster a secure, innovative, and globally competitive environment for virtual assets in the UAE.

Source: The Fintech Times