HashKey Secures Dubai License, Expands Crypto Services in UAE

HashKey Group, a crypto company based in China Hong Kong, has obtained a virtual asset license from the regulatory authorities in Dubai. This license allows the company to provide crypto brokerage services in the United Arab Emirates (UAE). HashKey has announced the establishment of HashKey Global MENA (Middle East and North Africa) to oversee these new operations. The Dubai Virtual Assets Regulatory Authority (VARA) has granted a Virtual Asset Service Provider (VASP) license to HashKey.

Blockchain infrastructure development has the potential to connect vast regions, enhancing economic conditions and providing new opportunities for rural communities. HashKey plans to offer services for institutional clients using USD and AED currencies, including fiat deposits and withdrawals. The company will also support major cryptocurrencies such as Bitcoin and Ethereum. HashKey's focus will be on compliance and security, and the UAE has approved these business services through its regulatory bodies, positioning HashKey to develop a strong presence in the MENA crypto sector. The Middle East and Africa have seen significant growth in crypto innovations, and the new technology has the potential to link vast regions through trustless technology. HashKey will commence its MENA operations on 19 May, indicating the company's continued global expansion.

Sherif Samad, manager at HashKey MENA, stated that the company will address the needs of institutional clients, particularly by providing over-the-counter (OTC) services for fiat and crypto exchange. Samad explained that HashKey will offer a regulated service allowing clients to make large transactions without legal concerns. The company aims to provide access to crypto markets while adhering to regulatory laws and supporting the UAE as a crucial hub for crypto innovation.

Samad believes that HashKey is well-suited for this role due to its regulatory approval in other countries, such as China Hong Kong, Japan, and Singapore. HashKey is currently seeking regulatory approval in Europe under the new MiCA license. For institutional investors, this consistency is beneficial, especially for businesses operating on a global scale. Crypto adoption has multiple levels, including an institutional level that heavily relies on legal frameworks and regulation, particularly when operating between countries.

The UAE has been actively working to attract global investors to establish itself as a blockchain hub. The region aims to draw international players in the crypto market, particularly institutional investors. For instance, an Abu Dhabi state-backed firm recently announced a $2 billion investment in Binance and World Liberty Finance, using the stablecoin USD1. World Liberty Finance is a crypto project linked to the Trump family. With increasingly stringent European regulations under the MiCA system, many investors may seek external systems to conduct their business. The UAE may offer a welcome reprieve for EU businesses seeking key-turn business solutions with streamlined procedures.