Bybit, the world’s second-largest crypto exchange by trading volume, has secured provisional approval for a Virtual Asset Service Provider (VASP) license from Dubai’s Virtual Assets Regulatory Authority (VARA). The non-operational approval covers virtual asset exchange services for retail, qualified investors, and institutional users in Dubai.

This milestone marks a key step towards Bybit obtaining full operational approval in Dubai, where it established its global headquarters in 2022. The company has been actively engaging with VARA to meet the regulator’s stringent requirements.

“Dubai’s strategic location, progressive policies, and innovation-driven environment offer unparalleled opportunities for businesses and investors in the cryptocurrency sector,” Helen Liu, Chief Operating Officer of Bybit, stated.

Liu added that Dubai is the ideal place to advance digital currencies and foster growth in the industry, as they offer a robust regulatory framework and are committed to becoming a blockchain capital.

Bybit has strengthened its presence in Dubai by renewing its partnership with the Dubai Multi Commodities Crypto Centre (DMCC) and transitioning to an advisory role with DMCC Crypto Hub. The exchange has also launched initiatives such as sponsoring the Blockchain for Good Alliance and planning a Crypto Content Creator Campus in Dubai this November.

The provisional approval from VARA reinforces Dubai’s position as a growing hub for crypto and blockchain innovation, with regulators working closely with industry leaders to create a robust and compliant ecosystem.