Crypto exchange FTX wins licence, plans regional HQ in Dubai

[NEW YORK] FTX, a major cryptocurrency exchange, said it received a virtual-asset licence in Dubai and will set up a regional headquarters in the city.

FTX Europe, a division operating in Europe and the Middle East, is among anchors in the Dubai World Trade Centre. The firm will offer "complex crypto-derivatives products with centralised counterparty clearing to institutional markets," chief executive Sam Bankman-Fried said in a statement.

Binance also got a crypto licence in Dubai under the same programme, a person familiar with the matter told Bloomberg.

The United Arab Emirates is seeking to attract some of the world's biggest crypto and fintech companies. The UAE is the third-largest crypto market in the region, trailing Turkey and Lebanon, according to data compiled by Chainalysis fas of June 2021.

"The certainty and credibility that Dubai assures in its adherence to these commitments allows FTX to safely pursue its overall strategy of scaling towards becoming the first virtual-asset service provider to enter global markets in a fully regulated manner," Patrick Gruhn, head of FTX Europe, said in the statement.

FTX reached US$32 billion valuation after raising US$400 million in a Series C round announced in January. Founded nearly 3 years ago, it has become one of the world's largest crypto exchanges, in part through marketing such as a Super Bowl ad. It is pushing to gain institutional clients through a new unit. BLOOMBERG