Bybit Expands Licensing Reach

According to Bybit’s CEO, the company’s current licensing does not permit it to serve all consumers. Bybit already operates out of Dubai.

Bybit FinTech FZE, a subsidiary of the global exchange Bybit, announced on June 27 that it had obtained a Minimum Viable Product (MVP) license from Dubai’s Virtual Assets Regulatory Authority (VARA).

Bybit’s chief executive officer, Ben Zhou, stated that the exchange is working diligently to obtain a full market product license in Dubai, enabling it to serve a broad range of customers in the United Arab Emirates.

“Bybit already operates out of Dubai; however, the MVP license only allows Bybit to serve a small subset of accredited investors,” Zhou explained.

“I’m optimistic about our progress because VARA demonstrates an interest and passion for innovation and entrepreneurship,” he said, adding that the agency has been actively soliciting feedback from entrepreneurs.

Once completely licensed in Dubai, Bybit intends to operate a comprehensive digital asset exchange offering “all services available within that license,” according to the CEO.

According to official VARA data, these services include advisory, broker-dealer, custody and exchange, lending and borrowing, payments and remittance, and investment services.

“Dubai provides a level playing field for businesses of all sizes and industries,” Zhou said, adding that the UAE and Dubai have been actively pursuing regulatory clarity and investor protection.

He noted that:

“The Emirate’s future-ready mindset helps attract investors and funds looking for a stake in the digital economy, and that’s why it’s the perfect location for Bybit […] The “test-adapt-scale” virtual assets market model sets out an attractive proposition for foreign direct investment.”

Bybit’s most recent regulatory developments occurred shortly after the company moved into its new Dubai headquarters in April 2023. Before April 2022, the corporation received VARA’s approval in principle.

The announcement comes as Bybit aggressively expands its global regulatory reach. Bybit announced on June 26 that it had acquired a license to operate in Cyprus as an exchange and custody service, allowing it to begin offering to trade between crypto and fiat currency pairs.

Bybit received preliminary sanction in Kazakhstan in May to operate as a digital asset trading facility and provider of custody services at the Astana International Financial Centre.

“It is evident that some jurisdictions are more accommodating than others. Kazakhstan and Cyprus, for example, have recently issued us complete operational licenses,” Zhou explained.

The CEO added that Bybit also attentively monitors developments in key jurisdictions such as the United Kingdom, Hong Kong, and the European Union.