Bitpanda has received in-principle approval from Dubai’s VARA, which will facilitate its entry into the UAE’s expanding crypto market and advance its global expansion strategy.
The Virtual Asset Regulatory Authority (VARA) has granted Bitpanda, a European digital asset platform, in-principle authorisation as it prepares to expand its operations in the United Arab Emirates (UAE).
The regulatory sanction establishes the foundation for Bitpanda to establish a stronger presence in the Middle East, which is consistent with its strategy to expand beyond Europe, where it is already a regulated provider of digital assets.
With its innovation-focused regulations, the United Arab Emirates, particularly Dubai, has become a prominent global centre for digital finance, attracting cryptocurrency firms.
Bitpanda’s co-founder and CEO, Eric Demut, referred to Dubai as the company’s “strategic launchpad for international expansion.”
The in-principle sanction from VARA indicates that Bitpanda is in compliance with regulatory requirements and compliance benchmarks and may receive its UAE operational licence in the near future.
Despite the fact that the announcement suggests that Bitpanda has satisfied critical compliance requirements, it still states that it must satisfy additional conditions in order to receive full approval.
These may encompass the establishment of a local office in the UAE, the integration of compliance infrastructure that is compliant with the VARA-regulated framework, and the onboarding of regional management teams.
Bitpanda’s strategic decision to expand its operations beyond Europe was significantly influenced by Dubai’s status as a rapidly developing global hub for digital finance.
Bitpanda’s expansion into Dubai serves as a testament to the city’s dedication to developing cryptocurrency innovation by means of initiatives such as the DMCC Crypto Centre.
Bitpanda’s objective is to establish a regional headquarters in Dubai that is completely operational, in addition to forging partnerships with pertinent financial stakeholders.
In September, Bitpanda formed a partnership with the global banking conglomerate Societe Generale to facilitate the growth of stablecoins and crypto to become vital components of global finance.
Bitpanda will collaborate with the blockchain subsidiary of the conglomerate, Societe Generale-Forge, to promote the widespread adoption of its euro-denominated stablecoin, EUR CoinVertible (EURCV).
The partnership was essential for the establishment of stablecoins as a “central component of the global financial system,” according to Jean-Mark Stenger, CEO of Societe Generale-FORGE, while speaking to Cointelegraph.
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