Kraken’s parent company Payward received Full Market Approval from Dubai’s Virtual Assets Regulatory Authority (VARA) on October 12, clearing the exchange to launch regulated cryptocurrency services across the United Arab Emirates within weeks. The approval, announced in a company release, authorizes Payward’s Dubai subsidiary, Payward FZCO, to operate as a licensed Virtual Asset Service Provider serving retail, professional and institutional investors.
What Kraken Will Offer in the UAE at Launch
At launch, Kraken customers in the UAE will be able to trade spot and margin pairs denominated in UAE dirhams (AED) and deposit or withdraw the local currency directly, without converting to another fiat currency first. The initial offering also includes on-chain staking, tokenized equities through the xStocks platform and crypto transfers through Krak, Kraken’s payments app. Institutional clients will get access to over-the-counter spot trading and Kraken Prime, the company’s prime brokerage service.
Final Stage of a Five-Month Licensing Process
The Full Market Approval is the final stage of VARA’s licensing process. Payward received preliminary authorization on May 21, 2026, which let it build local operations without onboarding clients. The final license covers broker-dealer, investment and management activities. Co-CEO Arjun Sethi said UAE clients would trade on the same order book and multi-asset coverage Kraken runs in its other markets, under what he called one of the clearest regulatory frameworks in the world. Payward says it now holds more than 100 licenses and registrations worldwide.
Dubai has granted similar VARA licenses to other digital asset firms as the emirate builds itself into a regulated hub for virtual asset trading. Deribit received a Dubai VARA broker-dealer licence earlier this year and routes spot orders to Coinbase.
What Kraken Is Planning Next
Kraken said crypto derivatives and additional yield products are planned for late 2026 into 2027, subject to further regulatory approval. The UAE push adds to Payward’s broader institutional expansion, which has included talks with Wells Fargo to supply crypto trading liquidity and a growing line of tokenized stock offerings through xStocks.
The launch is expected within the coming weeks, though Kraken has not named a specific date. Once live, it will connect UAE clients to the same global liquidity network the exchange operates across its existing licenses and registrations.
