Ripple Secures Dubai License Approval
01 Oct, 2024 ● Vijesti o kovanicama
Ripple, a prominent provider of crypto payment infrastructure, has received in-principle approval for a license from the Dubai Financial Services Authority (DFSA), enabling the company to establish operations in the United Arab Emirates (UAE).
On October 1, Ripple announced this provisional license approval from the DFSA, which is a necessary step toward obtaining a full operating license in Dubai.
Once fully approved, Ripple will be able to offer cross-border payment services for both fiat and digital assets within the Dubai International Financial Center (DIFC), a special economic zone.
In an official statement, Ripple emphasized the importance of this milestone:
“This milestone significantly strengthens Ripple’s global footprint as a regulated entity and enables the introduction of seamless cross-border payment services, including Ripple Payments Direct (RPD), in the UAE.”
To finalize the process, companies operating in the DIFC, including those in the crypto industry, must meet several requirements, such as securing office space within the zone.
Once all conditions are met, the DIFC will issue a full license to applicants.
Ripple is aiming to become the first blockchain-enabled payment service provider to be licensed by the DFSA. The company plans to deploy its enterprise-grade digital asset infrastructure across the UAE.
Ripple CEO Brad Garlinghouse highlighted the UAE’s forward-thinking regulatory environment:
“With its forward-thinking regulatory approach and clear guidance for innovative businesses seeking to invest and scale, the UAE is positioning itself as a global leader in this new era of financial technology.”
Ripple also plans to leverage Dubai as a strategic base to tap into rapidly expanding crypto markets in the Middle East, Africa, and South Asia.
Salmaan Jaffery, chief business development officer at the DIFC Authority, praised Dubai’s advantageous position as a global hub:
“Dubai’s strategic location and DIFC’s robust legal and regulatory framework, built on two decades of experience, makes this the ideal hub for international businesses looking to make a lasting impact.”
However, Dubai's Virtual Asset Regulatory Authority (VARA) recently introduced stricter regulations for companies promoting crypto investments within the UAE.
On September 26, VARA mandated that all firms marketing digital asset investments must include a disclaimer in their marketing materials.
VARA CEO Matthew White emphasized the importance of providing clear guidelines to help virtual asset service providers operate responsibly.
Sources:
https://cointelegraph.com/news/ripple-in-principle-license-dubai-dfsa-cross-border-payments
https://www.difc.ae/business/establish-a-business/innovation-licence
