Bitpanda receives in-principle approval for expansion in the United Arab Emirates
Bitpanda, a European digital asset platform, has received in-principle approval from the Virtual Asset Regulatory Authority (VARA) as it prepares to expand its footprint into the United Arab Emirates (UAE).
The regulatory approval will strengthen Bitpanda's presence in the Middle East, in line with its strategy to grow beyond Europe, making it a regulator of digital assets.
The United Arab Emirates, particularly Dubai, has emerged as a leading hub for global digital finance, with its innovative regulations attracting cryptocurrency companies.
Eric Demuth, co-founder and CEO of Bitpanda, described Dubai as the company's “strategic launch pad for global expansion.”
Related: CoinDCX's BitOasis Receives Full Crypto License in Dubai
Regulatory compliance
VARA's in-principle approval indicates that Bitpanda may soon receive a UAE operating license and comply with regulatory requirements and compliance metrics.
While the announcement indicates that Bitpanda has met key regulatory requirements, it still needs to meet additional conditions before receiving full approval.
These could include setting up a local office in the UAE, onboarding regional management teams and coordinating infrastructure that complies with the VARA-managed framework.
Related: Dubai regulator tightens rules on crypto marketing
Strategic geopolitical expansion.
Dubai's location as an emerging global home for digital finance has played a vital role in Bitpanda's UAE expansion beyond its European operations.
Bitpanda's push into Dubai demonstrates the city's commitment to fostering cryptocurrency innovation through initiatives such as the DMCC Crypto Center.
Bitpanda intends to establish a fully operational regional headquarters in Dubai, with additional objectives of establishing partnerships with relevant financial stakeholders.
Related: BayBit wallets get temporary crypto license from Dubai regulator
Societe Generale Forge partnership
In September, Bitpanda partnered with global banking conglomerate Societe Generale to help cryptocurrencies and stablecoins grow to become key players in global finance.
The partnership will include Bitpanda working with the conglomerate's blockchain subsidiary Societe Generale-Forge to lead mainstream adoption of the euro-denominated stablecoin (EUR CoinVertible (EURCV)).
Jean-Marc Stenger, CEO of Société Générale-Forge, told Cointelegraph that the partnership was crucial to making the stablecoin “an integral part of the global financial system.”
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