Animoca Brands granted Dubai VASP licence to offer broker‑dealer and asset management services
Animoca Brands, the Hong Kong–headquartered digital-asset venture firm, has received a Virtual Asset Service Provider (VASP) licence from Dubai’s Virtual Assets Regulatory Authority (VARA). The licence authorises Animoca to operate in Dubai (excluding DIFC) offering broker‑dealer services, digital asset management and investment services to institutional and qualified investors. This follows earlier regulatory progress for Animoca — including in‑principle approval as a regulated fund manager in Abu Dhabi and a planned Nasdaq listing via reverse merger — and complements its management of 600+ blockchain investments and institutional services such as crypto treasury management. VARA’s approval arrives amid tighter regional rules (including DFSA limits on privacy coins and stricter stablecoin definitions) that align Dubai with global AML and FATF standards. For traders: the licence signals stronger regulatory clarity and institutional expansion in Dubai, likely increasing onshore institutional flows and demand for regulated digital‑asset products tied to Animoca’s portfolio. That could support liquidity and price support for related tokens, while continued restrictions on privacy coins and certain stablecoins may reduce venues and liquidity for those assets.
Bullish
The VASP licence is a positive regulatory endorsement that enables Animoca to expand institutional services onshore in Dubai. For the tokens and projects within Animoca’s portfolio, this increases the likelihood of institutional custody, managed products, and on‑ramps that raise demand and liquidity — supportive for prices in both the short and medium term. Short‑term effects: news flow may trigger speculative buying in tokens tied to Animoca’s investments as traders anticipate greater institutional flows and product listings. Medium‑to‑long term: sustained regulatory clarity and institutional adoption in a major hub like Dubai can attract durable capital, support deeper liquidity, and reduce volatility for compliant assets. Offsetting risks: regulatory tightening on privacy coins and some stablecoin definitions could divert trading activity away from restricted tokens, reducing liquidity for those specific assets. Overall impact on the cryptocurrencies mentioned and those closely linked to Animoca’s ecosystem is likely net bullish due to improved institutional access and on‑shore product development.