Kraken VARA approval for UAE expansion, adds AED rails

Kraken’s parent, Payward, has received preliminary approval from Dubai’s Virtual Assets Regulatory Authority (VARA) to expand regulated crypto services in the UAE. The approval covers a broker-dealer, investment, and management license for a locally regulated Payward subsidiary, keeping Kraken operating within Dubai’s rule perimeter. Under the Kraken VARA framework, Kraken plans to launch spot trading, margin trading, OTC services, staking, and crypto transfers via its app “Krak.” It will also expand institutional capabilities through Kraken Prime, including advanced reporting and professional payments. A key new item is local-currency funding: Kraken plans to enable UAE dirham (AED) deposits and withdrawals, giving traders a native fiat on-ramp instead of relying on foreign-currency transfers. Kraken also expects access to liquidity tied to global order books across Europe, the US, and Asia-Pacific. Kraken co-CEO Arjun Sethi said Dubai’s earlier rulebook helped attract liquidity and institutional capital, and Kraken VARA approval should strengthen trust versus offshore operations. The exchange also plans to roll out “Buy, Trade, and Earn” products in the UAE, starting with spot trading and staking (subject to approvals), and eventually expand into derivatives and lending for qualified clients. Kraken previously secured AED access approval in Abu Dhabi via ADGM.