Crypto Exchange Bybit Secures Full Dubai VARA License for Spot Trading

Cryptocurrency exchange Bybit has achieved a major regulatory milestone in the United Arab Emirates after securing a full Virtual Asset Service Provider (VASP) license from Dubai’s Virtual Assets Regulatory Authority (VARA). The authorization, granted to the exchange’s local entity, Bybit Fintech FZE, marks a significant step forward in the platform’s regional compliance efforts, specifically granting it the legal clearance required to offer spot trading services within the emirate.

The latest development follows an earlier phase in which the exchange held non-operational, in-principle approval from the Dubai regulator. According to a company spokesperson, that initial status did not grant Bybit the legal framework required to actively onboard or service customers within Dubai. With the transition to a fully active license, which is now officially reflected on VARA’s public register, the exchange is authorized to extend its regulated trading offerings to a wide spectrum of participants, ranging from retail clients to qualified and institutional investors.

Despite the issuance of the active license, Bybit cannot immediately open its order books to local traders. A company spokesperson clarified that the exchange still needs to fulfill several remaining procedural mandates and meet specific operational requirements stipulated by VARA before officially launching its spot trading services. The organization has not yet disclosed a definitive timeline or target date for when these operations will formally commence.

This localized achievement in Dubai adds to Bybit’s broader regulatory footprint across the wider United Arab Emirates. In October 2025, the exchange successfully acquired a comprehensive Virtual Asset Platform Operator license from the federal regulator of the country, the Securities and Commodities Authority (SCA). However, the complex regulatory landscape of the UAE creates distinct operational boundaries between federal and emirate-level jurisdictions.

According to Bybit’s official service restriction guidelines, the entity operating under the federal SCA license—known as Bybit Virtual Asset Platform Operator LLC—excludes Dubai from the specific jurisdictions it is permitted to serve. When asked about the precise legal distinctions between the federal SCA approval and the newly minted Dubai VARA license, or whether the earlier federal license ever permitted operations within Dubai, the exchange’s spokesperson declined to provide further comment.

The regulatory clarity emerging in Dubai continues to attract major global digital asset firms as the emirate establishes itself as a leading international hub for blockchain technology, Web3 innovation, and virtual asset regulation. VARA remains at the center of this ecosystem, actively establishing compliance frameworks that balance consumer protection with industry growth. Recently, the regulator has also engaged in various international and domestic cooperative efforts, including signing memorandums of understanding aimed at fostering tokenization innovation and expanding digital asset infrastructure within the region.

As Bybit works through its remaining operational conditions to satisfy VARA’s launch requirements, the local crypto community awaits the official debut of its fully regulated spot trading services in one of the world’s most dynamic financial centers.