Kraken wins Dubai approval ahead of UAE launch

Dubai’s Virtual Assets Regulatory Authority (VARA) has completed the licensing process for Kraken’s local operator, Payward FZCO, clearing the way for the exchange to begin serving UAE clients in the coming weeks. Payward announced the planned launch on October 12.

The approval puts Kraken’s UAE services under local supervision and opens a direct route to fund and trade in dirhams.

According to Payward’s announcement carried by Business Wire, UAE clients will be able to trade spot and margin markets with UAE dirham (AED)-denominated pairs and deposit and withdraw directly in AED. The company said the initial service will also include on-chain staking, tokenized equities through xStocks, and crypto transfers through Krak. Institutional clients are slated for over-the-counter spot trading and access to Kraken Prime.

What activities does VARA’s licence cover?

VARA’s public register lists Payward FZCO as an active Virtual Asset Service Provider (VASP), with broker-dealer services and management and investment services. The regulator’s register records the licence as issued on October 6, with reference VL/26/10/002, and says the entity may serve institutional, qualified and retail investors.

The register confirms the licensed activities and investor categories; it does not list individual products or trading pairs. Payward’s announcement describes the planned product lineup, while noting that additional products—including crypto derivatives and expanded yield opportunities—are expected later in 2026 and into 2027, subject to regulatory approval. The company did not provide a specific launch date, saying the go-live is targeted for the coming weeks.

How did the approval follow May’s preliminary step?

Payward received preliminary approval from VARA in May 2026, according to the company’s October announcement. That earlier step allowed it to complete operational setup ahead of client onboarding; Full Market Approval is the final stage of VARA’s licensing process and authorizes Payward to begin regulated activity in Dubai.

The distinction matters for the rollout: preliminary approval enabled preparation, while the active licence now recorded by VARA covers regulated activity for the listed investor groups. Payward said the UAE service will connect clients to Kraken’s wider order book and liquidity, and that it plans to offer its infrastructure to regional partners through embedded trading as a service. Its announcement also says products beyond the initial lineup will depend on further regulatory approval.

Sources

• Payward’s announcement carried by Business Wire — streetinsider.com
• regulator’s register — vara.ae