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Kraken Parent Payward Wins Initial Dubai Approval to Expand UAE Crypto Services

Kraken Parent Payward Wins Initial Dubai Approval to Expand UAE Crypto Services

According to the press release, Payward received in-principle approval from Dubai’s VARA, allowing Kraken to launch locally supervised crypto services in the UAE with AED on- and off-ramping.

Fact Check
The claim is strongly supported by Payward's own official press release published on BusinessWire on May 21, 2026 ('Payward Secures VARA Authorization in UAE, Enabling Kraken to Expand Regional Presence'), which confirms preliminary VARA approval for a broker-dealer, investment and management license. This is independently corroborated by The Block, crypto.news, and fxnewsgroup, all published the same day and all consistent on the license types and regulator. The claim's characterization of the approval as 'initial' accurately reflects the preliminary nature of the authorization - sources note that full services require final license issuance. No conflicting evidence was found.
Summary

Payward, the parent company of Kraken, received in-principle approval from Dubai’s Virtual Asset Regulatory Authority for a license covering crypto broker, investment, and management services. According to the press release, the approval allows Kraken to offer UAE clients spot, margin, and OTC trading, staking, Kraken Prime access for institutional clients, crypto transfers between users, and AED on-ramping and off-ramping through its locally regulated subsidiary. The company said UAE users will receive the same order book, balance sheet, and multi-asset coverage available in Europe, the USA, and APAC. The expansion marks Kraken’s return to the UAE after the company had previously received a license from ADGM in Abu Dhabi in 2023, later dissolved, and had closed its UAE office that same year.

Terms & Concepts
  • OTC trading: Over-the-counter trading involves direct trades between parties rather than transactions matched on a public exchange order book.
  • Staking: A service that lets users commit crypto assets to support eligible blockchain networks and potentially receive rewards.
  • Kraken Prime: Kraken’s service offering for institutional clients, typically providing access to trading, liquidity, and related market infrastructure.