Ripple, a leading crypto payments infrastructure provider, has received an in-principle license approval from the Dubai Financial Services Authority (DFSA), allowing the company to establish a presence in the United Arab Emirates (UAE).
On Oct. 1, Ripple announced the DFSA in-principle license approval, a prerequisite for attaining a full license in Dubai. Once fully approved, Ripple will be able to offer cross-border payment services for fiat and digital assets in the Dubai International Financial Center (DIFC), a special economic zone.
In its official statement, the company said:
“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 complete the process, companies in the DIFC, including those in the crypto space, must meet several obligations, such as securing office space within the zone. Upon successful registration, the DIFC will issue a full license to applicants.
Source: Ripple
Achieving global presence through license approvals
Ripple is working to become the first blockchain-enabled payment services provider licensed by the DFSA. The company plans to roll out its enterprise-grade digital asset infrastructure in the UAE. Ripple CEO Brad Garlinghouse said:
“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 use Dubai as a strategic hub to access fast-growing crypto markets across the Middle East, Africa and South Asia.
Related: Bybit bags provisional crypto license from Dubai regulator
Salmaan Jaffery, chief business development officer of the DIFC Authority, emphasized Dubai’s ideal 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.”
Dubai demands investor warnings on crypto products
Still, Dubai’s digital asset regulator recently revealed stricter requirements for companies marketing crypto investments in the UAE.
On Sept. 26, Dubai’s Virtual Asset Regulatory Authority (VARA) mandated all companies promoting digital asset investments in the country must add a disclaimer to their marketing material.
VARA CEO Matthew White said that providing clear and actionable guidance can help virtual asset service providers “deliver their services responsibly.”
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