Bybit Secures Full Dubai Licence for Spot Trading, but Derivatives Remain Out of Reach

The Dubai Virtual Assets Regulatory Authority (VARA) granted Bybit the full Virtual Asset Service Provider (VASP) licence, which permits the exchange to offer spot trading services to customers in Dubai. This regulatory approval marks a significant step for Bybit in establishing a formal presence in the Middle Eastern market.

Limited Scope

Despite obtaining the licence, Bybit cannot yet offer derivatives trading in Dubai, as this remains outside the current scope of its regulatory approval. The exchange will need to seek additional permissions to expand its product offerings in the region.

Dubai has been actively positioning itself as a cryptocurrency-friendly jurisdiction, with VARA implementing a comprehensive regulatory framework for digital assets. The authority has been granting licences to various crypto exchanges seeking to operate in the emirate.

Regional Expansion

Bybit's licensing in Dubai comes amid increasing competition among cryptocurrency exchanges to establish operations in the Middle East. The region has emerged as an attractive market for digital asset firms seeking clear regulatory environments.

The exchange's entry into Dubai follows similar moves by other major crypto platforms seeking regulatory clarity in key markets. Bybit now joins the growing list of exchanges that have obtained formal approval to operate in the emirate.