Payward Secures Dubai License to Expand Kraken Services in UAE
Payward, the parent company of Kraken, has received full regulatory approval from Dubai's Virtual Assets Regulatory Authority (VARA). The approval enables the exchange to offer dirham-based spot and margin trading, deposits, and withdrawals for retail, professional, and institutional investors. Payward expects to begin serving UAE customers in the coming weeks, with additional services like staking and tokenized equities planned.
Payward, Kraken's parent, has moved from preliminary clearance in May to full authorization from Dubai's Virtual Assets Regulatory Authority. The company has not set a launch date but says UAE service could start within weeks. Initial offerings would include AED-denominated spot and margin trading plus local-currency deposits and withdrawals.
Institutional clients would gain OTC spot execution and Kraken Prime, while partners could embed trading into their own products. Staking, xStocks tokenized equities, and Krak transfers are also planned, subject to permissions. Payward reports over 100 licenses and registrations globally. VARA regulates virtual assets in Dubai outside the DIFC.
The approval may make it easier for UAE residents and institutions to access crypto using dirhams, potentially lowering conversion friction and expanding product choice. Local businesses could integrate trading through embedded services, while greater regulatory oversight may boost confidence. Risks remain, including margin and derivatives exposure, so consumer protection and market stability will depend on how VARA supervises rollout.