RAKBANK Launches UAE's First Regulated Crypto Trading Service via Bitpanda Partnership

RAKBANK, a UAE-based bank, has pioneered a regulated cryptocurrency trading service, becoming the first traditional financial institution in the United Arab Emirates to offer retail customers direct access to digital assets via its mobile app. The initiative, launched in collaboration with Bitpanda, enables users to trade cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), and XRP directly in UAE dirhams (AED) without currency conversion or transferring funds to third-party exchanges. This integration eliminates foreign exchange fees and streamlines access, as transactions occur within RAKBANK’s existing accounts [1]. The service is currently available by invitation only, with broader public access expected in the coming months as the UAE advances its digital finance goals [2].

The platform operates under Dubai’s Virtual Assets Regulatory Authority (VARA), leveraging Bitpanda Broker MENA DMCC—a VARA-licensed entity—to ensure compliance with local regulations. Bitpanda, known for its enterprise-grade infrastructure used by European institutions like Deutsche Bank and N26, provides the underlying technology for trade execution, custody, and user interface [3]. By embedding crypto trading within its mobile banking ecosystem, RAKBANK addresses barriers such as currency volatility and transfer inefficiencies, positioning itself as a bridge between traditional banking and the digital asset market [4].

This move aligns with the UAE’s broader strategy to establish itself as a global fintech hub. Over 600 blockchain and crypto firms are already registered in Dubai’s DMCC free zone, while the Dubai International Financial Centre (DIFC) attracts tokenization startups and DeFi protocols. Recent regulatory milestones, including the approval of Ripple’s RLUSD stablecoin by the Dubai Financial Services Authority (DFSA), underscore the region’s maturing crypto landscape [5]. RAKBANK’s Group CEO, Raheel Ahmed, emphasized the bank’s commitment to delivering a “simple, secure, and regulated” crypto experience, reflecting a vision of integrating digital assets into mainstream finance [6].

The partnership with Bitpanda highlights the role of third-party infrastructure in scaling crypto adoption. While RAKBANK facilitates user access, the trading platform remains managed by Bitpanda, which operates under both European and UAE regulatory frameworks. This model balances innovation with compliance, addressing historical concerns about security and oversight that have deterred traditional banks from entering the crypto space [7]. Analysts note that RAKBANK’s invitation-only rollout allows the bank to refine operations before a wider launch, minimizing risks while building user trust. The service’s success will depend on factors such as transaction volumes, user adoption, and the evolving regulatory environment [8].

RAKBANK’s entry into crypto trading signals a strategic shift in the UAE’s financial ecosystem. By offering AED-based transactions within a trusted banking platform, the bank caters to a growing investor base seeking diversified portfolios. As the market matures, the interplay between regulatory frameworks and technological innovation will remain critical in shaping the region’s financial landscape [9].

Sources:

[1] Cointelegraph, [url1]

[2] Gulf News, [url4]

[3] CoinCentral, [url5]

[4] Invezz, [url6]

[5] The Cryptobasic, [url8]

[6] Gulf News, [url4]

[7] Finextra, [url7]

[8] The Cryptobasic, [url8]

[9] RAKBANK Press Release, [url1]