- After obtaining a license to operate in the UAE in July, FTX announced the opening of its operation there today.
- The firm now offers institutional investors in Dubai crypto derivative products, trading services, a nonfungible token marketplace, and custodial services.
- FTX Exchange FZE will provide these services as a subsidiary of its Europe and Middle East divisions.
- Also in March, the Bahamas-based cryptocurrency exchange launched its European domain in Cyprus, allowing it to offer products and services in the EU.
As stated earlier in a press release, the firm can now offer crypto derivatives, products and trading services, a nonfungible token marketplace, and custodial services to institutional investors in Dubai. FTX Exchange FZE, a subsidiary of FTX’s Europe and Middle East division, will provide the services.
For FTX, the expansion will aid it in gaining more ground in markets outside the United States and Europe, as the cryptocurrency exchange has been pushing towards gaining global prominence.
Efforts Toward Global Adoption of Cryptocurrency
In recent years, cryptocurrency exchanges have sought opportunities in emerging markets, like the Middle East, which have become a center of crypto innovation.
In its effort to establish itself as a force to reckon with in the Middle East, FTX gained approval to venture into Dubai’s “Minimum Viable Product” (MVP) program for the virtual assets regime in July. The program falls under the jurisdiction of the Virtual Asset Regulatory Authority of Dubai (VARA).
Further, on different occasions, the CEO of FTX, Sam Bankman-Fried (SBF), has emphasized his commitment toward the global adoption of cryptocurrency exchange.
“Our mission is to lead the way in growing the digital asset industry in countries and jurisdictions that possess a robust digital asset framework,” SBF said.
The Bahamas-based exchange also launched the European domain of its platform in Cyprus in March. This will allow the FTX to offer products and services in the European Union through an unidentified investment company.
On the Flipside
- While crypto firms are looking to expand to the UAE, Adrian Tan, Matrix’s former chief risk officer, says it can be difficult for crypto businesses to establish themselves there. This is because the country’s banks are regulated by a variety of central banking authorities, each with different sets of regulations.
Why You Should Care
- With the launch of the popular cryptocurrency exchange in the UAE, the company has taken another step forward in its operations globally.
- Additionally, this means that more people will have access to digital assets in the near future.