Kraken parent Payward secured preliminary approval from Dubai’s Virtual Assets Regulatory Authority to expand its regulated crypto services in the United Arab Emirates.

The approval covers a broker dealer, investment, and management license, giving Kraken a path to offer a broader suite of products to UAE customers through a locally regulated Payward subsidiary. The planned services include spot trading, margin trading, OTC trading, staking, crypto transfers through Krak, and Kraken Prime for institutional clients.

Kraken said UAE clients will also gain access to its global order books, connecting local traders to liquidity across markets in Europe, the US, and Asia Pacific. The company also plans to support dirham funding and withdrawals, giving users a local fiat on ramp into global crypto markets.

Dubai has become a key market for crypto firms seeking clearer regulatory pathways. VARA was created to oversee virtual asset activity in Dubai and publishes a public register of licensed virtual asset service providers in the emirate.

Arjun Sethi, co CEO of Payward and Kraken, said Dubai’s early crypto rulebook helped attract liquidity and institutional capital to the region. He said operating under VARA places Kraken inside a local regulatory perimeter rather than serving clients from offshore.

The expansion is part of Kraken’s broader push to build regulated operations in major financial centers. The exchange said its UAE platform will provide clients with the same order book, balance sheet, and multi asset coverage it uses across other markets, with local supervision added through Dubai’s regulatory framework.

Kraken plans to introduce its Buy, Trade, and Earn products in the UAE, offering access to spot trading and staking, subject to regulatory approval. Over time, the company expects to expand the offering to include derivatives, lending, and new investment products for qualified clients.

The move also marks Kraken’s renewed push into the UAE after earlier establishing a regional presence in Abu Dhabi. In 2022, Kraken received approval from Abu Dhabi Global Market to offer local AED based access to virtual assets, underscoring the UAE’s broader role as a crypto hub.