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Crypto.com gets regulatory nod in Dubai, FTX launches in Japan

Singapore-headquartered Crypto.com is one of the world’s largest cryptocurrency exchanges by volume. FTX, which overtook Coinbase to become the second-largest crypto exchange, has announced the launch of FTX Japan, to expand its services to Japanese customers.

June 03, 2022 / 04:16 PM IST
Representative image.

Representative image.

Crypto.com, one of the world’s largest cryptocurrency exchanges by volume, announced on June 3 that it has received provisional approval of its Virtual Asset MVP Licence from the Virtual Assets Regulatory Authority (VARA) in Dubai, allowing it to offer a full suite of crypto exchange products and services.

The operating licence under this specialised programme will be issued as soon as the firm qualifies all requirements.

Founded in 2016, the Singapore-headquartered exchange has over 50 million users worldwide.

Established in March 2022, VARA oversees the issuing, trading, and authorising of virtual assets in Dubai, regulates cryptocurrency exchanges and service providers, and monitors transactions to ensure the highest standards of consumer protection.

“The United Arab Emirates (UAE) is focused on developing a world-leading environment for innovative technology and collaboration, and we believe cryptocurrencies, virtual assets, and block chain will revolutionise the financial services sector,” said Thani Al Zeyoudi, Minister of State for Foreign Trade.

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“Through VARA and other initiatives, we are attracting companies to the UAE to build on this vision and enable technologies of the future to flourish here,” he added.

Helal Saeed Almarri, Director General of the Dubai World Trade Centre Authority, which houses VARA said that the establishment of the first-of-its kind specialised authority to regulate the virtual assets industry is a pioneering move by Dubai’s leadership that views this sector as an accelerator for the future global economy.

FTX expands services to Japan

FTX, which overtook Coinbase to become the second-largest crypto exchange, has announced the launch of FTX Japan, to expand its services to the Japanese customers.

The move comes days after FTX acquired Japanese crypto firm Liquid Group and its subsidiaries, including Quoine Corporation, a Financial Services Agency (FSA)-registered crypto asset exchange.

FTX CEO Sam Bankman-Fried said: “Japan is a highly regulated market, with a potential market size of almost $1 trillion” for crypto trading.

In stark contrast to these expansions, Coinbase has decided to extend its hiring freeze and rescind a number of accepted offers to deal with the current macroeconomic conditions.

The exchange, in a blog post, stated it will pause hiring "for as long as this macro-environment requires."

"We always knew crypto would be volatile, but that volatility alongside larger economic factors may test the company, and us personally, in new ways," said LJ Brock, Coinbase's chief people officer, in a blog post.

Reportedly, another crypto exchange, Gemini, plans to cut 10 percent of its employees due to the unfavourable market conditions.

With crypto-friendly trading platform Robinhood’s stock price at an all-time low, it fired 9 percent of its workforce in April.
Murtaza Merchant is a senior journalist and an avid follower of blockchain and cryptocurrencies.
first published: Jun 3, 2022 04:16 pm
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