Kraken's Parent Company Wins Full Dubai Approval for Dirham Trading

Payward, the parent company of cryptocurrency exchange Kraken, has received full market approval from Dubai's Virtual Assets Regulatory Authority (VARA), clearing the final regulatory hurdle needed to launch dirham-based digital asset trading in the United Arab Emirates. The green light builds on a preliminary approval the firm had already secured in May, moving the operation from conditional status to fully licensed standing.

The VARA approval positions Payward to offer expanded digital asset services to UAE customers, with the ability to conduct transactions denominated in the UAE dirham — a significant step for crypto accessibility in one of the world's most active digital asset jurisdictions. Dubai has aggressively positioned itself as a global hub for blockchain and crypto businesses, and VARA has emerged as a central gatekeeper for that ambition.

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For Kraken, the milestone represents a meaningful foothold in the Middle East at a time when the exchange is competing globally for market share alongside rivals such as Binance and Coinbase. Regulatory legitimacy in a Gulf financial center carries weight not just for local customers but also as a signal to institutional players eyeing the region.

The development underscores how crypto firms are increasingly pursuing phased licensing strategies — using preliminary approvals to establish operational groundwork before converting those into full market authorizations. Payward's progression through VARA's framework could serve as a template for other exchanges seeking entry into the UAE.

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