Kraken Receives Abu Dhabi’s First Virtual Asset Exchange License

Binance, FTX recently gained licenses to operate in neighboring emirate Dubai

article-image

Abu Dhabi skyline | Source: Shutterstock

share
  • Kraken seeks to allow investors in the region to trade, withdraw and deposit bitcoin and ether directly in Emirati dirham
  • The Abu Dhabi Global Market (ADGM) launched its crypto framework in 2018

Kraken is set to expand its footprint to the United Arab Emirates, but unlike some of its competitors, the exchange is opting for Abu Dhabi rather than Dubai. 

The company announced that it has become the first exchange to receive a full financial license to operate as a regulated virtual asset exchange platform in the Abu Dhabi Global Market (ADGM).

Kraken will launch its crypto exchange there in the “near future,” according to a Monday statement. It has set up an office and executive team in Abu Dhabi and plans to scale post-launch.

The exchange seeks to bring the ability for investors in the region to trade, withdraw and deposit bitcoin and ether directly in the local currency, Emirati dirham. Regional investors currently must first convert dirhams into dollars, euros, British pounds and other foreign currencies to access crypto trading and investing.

Founded in 2011, Kraken has about nine million clients across 60 countries. A Kraken spokesperson did not immediately return a request for comment. 

The ADGM launched its framework to regulate spot cryptoasset activities in 2018 in an effort to “bolster the economic diversification of Abu Dhabi through innovation and sustainable initiatives.”

Binance received an initial approval from ADGM regulators to operate as a broker-dealer in virtual assets earlier this month as part of its plans to become a fully-regulated virtual asset service provider. 

Kraken’s competitor gained licenses to be a crypto service provider in Dubai and Bahrain, Bloomberg News reported last month.

Crypto exchange FTX also received a license to operate within the UAE last month and seeks to establish a regional headquarters in Dubai. The news came as the emirate of Dubai — one of seven within the UAE — adopted its first piece of crypto legislation and established a regulator to monitor the sector.

Representatives for Binance and FTX did not immediately return requests for comment about offerings and plans within the region.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Flashnote Template (41).png

Research

We believe that few tokens at the application layer are diverging more from fundamentals than ZORA. Its fully-diluted P/S sits at 90x, pricing significant growth despite a consistent decline in weekly revenues since late July. We foresee an 80% decrease in protocol net margins due to a recent update to the fee structure that reduces trading fees from 3% to 1%, while boosting creators’ portion of the fee split. ZORA’s supply overhang also represents a near-term headwind, with 45% of ZORA’s supply (4.5B tokens or $350M at current prices) earmarked for the team & investors beginning to unlock on October 23, 2025 (36-month linear vesting schedule).

article-image

Insiders have the best information — markets should be willing to pay for it

article-image

The CFTC-regulated exchange is opening doors to crypto builders and traders through grants, partnerships, and new deposit options

by Blockworks /
article-image

DFS tells banking organizations to integrate blockchain monitoring tools to curb money laundering and sanctions risks

by Blockworks /
article-image

New short and long-term priorities include L1 gas boosts, ZK-EVMs, privacy reads, and a lean, quantum-resistant Ethereum

by Blockworks /
article-image

The new stBTC token redistributes Bitcoin gas fees to users, creating liquid yield without inflation or lockups

by Blockworks /
article-image

The reserve will collect protocol revenues to back W token, alongside new yield and unlock schedule

by Blockworks /