Laser Digital Secures Dubai's First OTC Crypto Derivatives License

Laser Digital, the digital asset arm of Japanese financial services giant Nomura, has become the first firm in Dubai to secure a license for over-the-counter (OTC) crypto derivatives trading, according to the Virtual Asset Regulatory Authority (VARA) [1]. This regulatory approval marks a milestone in Dubai’s efforts to position itself as a global hub for institutional-grade digital finance. The pilot regulatory regime, under which Laser Digital was licensed, aims to provide legal certainty to crypto firms while enhancing the region’s appeal to international investors [2].

The newly issued license allows Laser Digital to offer regulated crypto options to institutional clients, primarily based on major cryptocurrencies like Bitcoin. These contracts are executed under the International Swaps and Derivatives Association (ISDA) framework, ensuring alignment with established risk management and legal standards in traditional financial markets [3]. This approach is intended to provide clarity and trust to institutional participants, who are increasingly seeking regulated exposure to crypto assets [4].

Initially, Laser Digital will focus on medium-term vanilla options, which are basic derivative contracts with fixed terms. The firm stated that this strategy is designed to build trust with both clients and regulators before moving on to more complex instruments [5]. Johannes Woolard, the firm’s Chief Product Officer, emphasized the importance of starting with simpler products to ensure compliance and investor confidence [6].

The company also indicated its intention to expand its offerings in Dubai, potentially including lending, spot trading, and structured yield products. However, any such expansion will require further regulatory approval from VARA [7]. While no specific timeline was provided, Laser Digital highlighted that future product launches will be driven by market demand and regulatory guidance [8].

This development underscores Dubai’s broader ambition to establish a robust and innovative digital asset ecosystem. The regulatory environment created by VARA is attracting international financial institutions and signaling the growing legitimacy of crypto markets in the Middle East [9].

Source:

[1] Live (https://www.livebitcoinnews.com/laser-digital-secures-dubai-license-to-launch-regulated-crypto-derivatives-trading/)

[2] Coinstelegram (https://coinstelegram.com/news/dubai-grants-first-ever-crypto-options-license-advancing-its-role-as-a-digital-finance-hub/)

[3] AInvest (https://www.ainvest.com/news/laser-digital-launches-regulated-otc-crypto-options-dubai-vara-framework-2508/)

[4] CryptoPolitan (https://www.cryptopolitan.com/laser-digital-has-received-the-first-license-in-dubai-to-offer-otc-crypto-options/)

[5] FXStreet (https://www.fxstreet.com/cryptocurrencies/news/nomura-backed-laser-digital-wins-regulatory-nod-for-crypto-derivatives-in-dubai-202508061130)

[7] CryptoRank (https://cryptorank.io/news/feed/b3476-nomuras-laser-digital-first-to-get-dubai-otc-crypto-options-license)

[8] Instagram (https://www.instagram.com/p/DNAg-9OPsJi/)

[9] NameCoinNews (https://www.namecoinnews.com/dubai-makes-history-with-crypto-options-trading-license/)