cryptoknowmics.com
Bybit has achieved a major regulatory milestone by receiving in-principle approval from the Securities & Commodities Authority (SCA) of the UAE. Announced on February 28, this approval allows Bybit to operate as a Virtual Asset Platform Operator in the region, moving the exchange closer to obtaining its fully operational license. This development enables Bybit to offer its digital asset services to both individual and institutional clients within the UAE.
Overcoming Recent Challenges
The approval comes despite the significant setback caused by the recent hack of Bybit’s multisig cold wallet, which resulted in a loss of approximately $1.5 billion in Ethereum. In response to the incident, VARA commented to Khaleej Times that the matter is “a highly evolving matter that we will continue to closely track until it stabilises.” Bybit’s swift actions to replenish reserves and secure regulatory support underscore its commitment to maintaining client asset safety and operational integrity.
Expanding Global Regulatory Footprint
This latest move is part of Bybit’s broader strategy to secure regulatory approvals worldwide. Following its successes in the Middle East, the exchange is actively pursuing licenses in key markets including India, Georgia, Kazakhstan, and Turkey. The UAE, with its progressive regulatory framework, has become a global hub for crypto and blockchain innovation. Other recent regulatory developments in the region include approvals for crypto platforms such as Circle’s stablecoins and Crypto.com’s regional operations by Dubai VARA.