Leading cryptocurrency exchange Bybit has made history by securing the very first full virtual asset platform (VASP) operator licence from the United Arab Emirates’ Securities and Commodities Authority (SCA). This crucial approval, which builds on an initial in-principle nod received in February, empowers Bybit to expand its operations beyond Dubai’s Virtual Assets Regulatory Authority (VARA) framework. It can now offer fully regulated trading, brokerage, custody, and fiat conversion services to both retail and institutional clients throughout the UAE mainland. This achievement marks a pivotal step in Bybit’s overarching strategy for global regulatory compliance.
Bybit Strengthens its Regulated Presence in the UAE Amidst Global Compliance Drive
With this comprehensive Virtual Asset Platform Operator Licence, Bybit is now authorized to provide its full suite of global products and services to clients across the UAE. This approval, coming several months after the initial clearance in February, reflects the regulator’s strong confidence in Bybit’s operational integrity and robust compliance standards.
Earlier in February, Bybit was unfortunately impacted by one of the cryptocurrency industry’s most significant hacks, where attackers linked to North Korea’s Lazarus Group illicitly obtained over $1.4 billion (approximately Rs. 12,412 crore) worth of Ether. Since that incident, the platform has successfully resumed its worldwide operations and has substantially enhanced its cybersecurity infrastructure.
Just last month, Bybit also fully resumed its operations in India. This followed its registration with the Financial Intelligence Unit-India (FIU-IND) under the Prevention of Money Laundering Act (PMLA). Bybit had initially registered in India in February after a temporary suspension of its services, and later paid a $1 million (approximately Rs. 8 crore) fine for compliance violations before restarting operations.
The Bybit application is now available again for Indian users on both iOS and Android platforms, with website access being progressively rolled out. Bybit has stated that its services in India will strictly adhere to the current compliance framework, including comprehensive anti-money laundering (AML) and Know Your Customer (KYC) regulations.
Ben Zhou, Bybit’s co-founder and CEO, commented, “The UAE has solidified its position as a global frontrunner in digital asset regulation, and this recognition reaffirms the strength of our security and governance standards.” Helen Liu, Bybit’s Co-CEO, further added that the SCA’s clear and well-defined framework provides exchanges with the necessary confidence and clarity to operate effectively.
The issuance of this license, following an extensive review process lasting several months, signifies increasing regulatory trust in Bybit’s operational capabilities and security protocols, especially after overcoming various challenges earlier this year.
As the UAE continues to reinforce its oversight of virtual assets, Bybit’s SCA licence further solidifies the country’s reputation as a well-regulated hub for digital finance. This commitment to stringent compliance and market transparency was recently underscored when authorities imposed fines on 19 other crypto firms for operating without proper licensing.