Bitpanda receives in-principle approval for UAE expansion

Bitpanda, a European digital asset platform, has received in-principle authorization from the Virtual Asset Regulatory Authority (VARA) as it prepares to expand its footprint into the United Arab Emirates (UAE).

The regulatory approval sets the stage for Bitpanda to solidify its presence in the Middle East, aligning with its strategy to grow beyond Europe, where it is already a regulated provider of digital assets.

The UAE, particularly Dubai, has emerged as a leading hub for global digital finance, attracting cryptocurrency firms with its innovation-focused regulations.

The co-founder and CEO of Bitpanda, Eric Demuth told Cointelegraph that the firm will focus on partnerships with local crypto platforms and “use the UAE as a global hub to expand outside of Europe.”

Regulatory compliance

The in-principle approval from VARA suggests Bitpanda could soon receive its UAE operational license and that it adheres to regulatory requirements and compliance benchmarks.

While the announcement indicates that Bitpanda has met key compliance requirements, it still shows it needs to fulfill additional conditions before receiving full approval.

These could include establishing a local office in the UAE, onboarding regional management teams and integrating compliance infrastructure that adheres to the VARA-regulated framework.

Strategic geopolitical expansion

Dubai’s positioning as an emerging global home for digital finance played a critical role in Bitpanda’s strategic selection of the UAE for its foray beyond its European operations.

Bitpanda’s push into Dubai underscores the city’s commitment to fostering cryptocurrency innovation through initiatives like the DMCC Crypto Centre.

Bitpanda intends to establish a fully operational regional headquarters in Dubai, with additional aims to create partnerships with relevant financial stakeholders.

Societe Generale Forge partnership

In September, Bitpanda partnered with the global banking conglomerate Societe Generale to help grow crypto and stablecoins to be key components of global finance.

The partnership will involve Bitpanda working with the conglomerate’s blockchain subsidiary, Societe Generale-Forge, to push for mainstream adoption of its euro-denominated stablecoin, EUR CoinVertible (EURCV).

Jean-Mark Stenger, CEO of Societe Generale-FORGE, told Cointelegraph that the partnership was crucial for making stablecoins “a core component of the global financial system.”

Source: https://cointelegraph.com/news/bitpanda-uae-vara-approval-expansion