Bybit's UAE License Positions Country as Global Crypto Hub

Bybit, the world's second-largest cryptocurrency exchange by trading volume, has become the first platform to obtain a Virtual Asset Platform Operator License from the United Arab Emirates' Securities and Commodities Authority (SCA). This regulatory milestone enables Bybit to offer a range of services-including virtual asset trading, brokerage, custody, and fiat conversion-across the UAE mainland, positioning the exchange as a key player in the region's growing digital asset ecosystem . The license, broader in scope than Dubai's Virtual Assets Regulatory Authority (VARA) framework, grants Bybit nationwide regulatory approval, distinguishing it from competitors operating under Dubai's localized regime .

The SCA license follows Bybit's In-Principle Approval (IPA) received in February 2025, facilitated by the Blockchain Centre, Abu Dhabi, and marks a continuation of the exchange's global regulatory strategy. Bybit CEO Ben Zhou emphasized that the achievement reflects the company's commitment to compliance and transparency, aligning with the UAE's vision to become a global digital asset hub. "Receiving the full license underscores our dedication to building trust through rigorous compliance standards," Zhou stated, highlighting the SCA's recognition of Bybit's security infrastructure and operational transparency .

To expand its presence in the UAE, Bybit plans to establish a larger regional operations center in Abu Dhabi, with over 500 employees across Abu Dhabi and Dubai. The expansion will focus on compliance, operations, and customer service roles, alongside partnerships with local entities to launch education and Web3 innovation programs. This move aligns with Bybit's broader strategy to deepen institutional and retail engagement in the UAE, leveraging the SCA license to provide legal clarity and regulatory confidence for stakeholders .

The licensing follows a series of regulatory approvals for Bybit in 2025, including a Markets in Crypto-Assets (MiCAR) license in the European Union and the resumption of full trading operations in India. These milestones reinforce Bybit's proactive approach to securing regulatory compliance before market entry, a strategy that has bolstered investor confidence amid a volatile market. The exchange's growing list of licenses, including its provisional VARA approval, underscores its position as a leader in navigating complex regulatory environments .

The UAE's regulatory advancements under the SCA framework reflect a broader trend of global crypto oversight. Unlike Dubai's VARA, which applies only to the emirate, the SCA license covers the entire UAE, enabling Bybit to serve a wider audience of institutional and retail clients. This distinction provides a competitive edge, as exchanges operating under VARA remain restricted to Dubai's jurisdiction. Bybit's federal approval also aligns with the UAE's ambition to attract compliant digital asset activity, with the country investing $30 billion in crypto infrastructure in 2024 alone .

The exchange's expansion in the UAE is expected to accelerate adoption of regulated digital asset services, particularly as the SCA's framework emphasizes investor protection and market integrity. Helen Liu, Bybit's Co-CEO, noted that the SCA's structured approach fosters innovation while ensuring compliance, stating, "We look forward to deepening our collaboration as we bring more resources and expertise to the UAE market." The license also supports Bybit's long-term commitment to the region, with plans to integrate its services into local financial ecosystems and collaborate on blockchain-driven initiatives .

Bybit's regulatory achievements in 2025 highlight its role in shaping the global crypto landscape. With the SCA license, MiCAR approval, and India's regulatory clearance, the exchange has positioned itself as a bridge between traditional finance (TradFi) and decentralized finance (DeFi), offering secure, transparent, and compliant services across multiple jurisdictions. As the UAE continues to solidify its status as a digital asset hub, Bybit's expansion underscores the importance of regulatory alignment in driving sustainable growth in the crypto sector.

Source: [1] Coindesk (https://www.coindesk.com/business/2025/10/09/bybit-snags-uae-s-virtual-asset-platform-operator-license-from-securities-and-commodities-authority) [2] PRNewswire (https://www.prnewswire.com/apac/news-releases/bybit-secures-uaes-first-virtual-asset-platform-operator-license-from-securities-and-commodities-authority-302580003.html) [3] CoinCentral (https://coincentral.com/bybit-becomes-first-exchange-to-gain-uaes-full-sca-crypto-license/)