The Virtual Asset Regulatory Authority (VARA) in Dubai has granted a comprehensive operating license to Komainu, a cryptocurrency joint venture led by Nomura.
This significant development marks the successful completion of the VARA licensing process and underscores Dubai’s commitment to fostering a favorable regulatory environment for crypto startups.
Komainu’s licensing journey exemplifies the UAE government’s efforts to support the cryptocurrency industry through funding initiatives and accommodating regulations.
The UAE government has embraced a proactive approach in encouraging crypto startups, exemplified by its provision of funding and the establishment of industry-friendly regulations.
The VARA licensing procedure for cryptocurrency exchanges in Dubai comprises three stages: provisional approval, a minimum viable product (MVP) license, and finally, a full market product license.
After nearly ten months since obtaining its MVP license in November 2022, Komainu successfully progressed through all phases of VARA’s licensing process.
Notably, Komainu is among the select few prominent exchanges that have accomplished this feat under Dubai’s regulatory framework.
Sebastian Widmann, head of strategy at Komainu, highlighted the pivotal role of a supportive regulatory position in facilitating the company’s expansion plans.
Operating from Jersey, Komainu operates under the supervision of the Jersey Financial Services Commission. With the full operating license granted by VARA, Komainu’s services, including institutional staking and collateral management, are now officially authorized for operation.
The company’s collateral management service, Komainu Connect, can further extend its offerings under VARA’s authorization.