Payward Achieves Regulatory Approval in Dubai
Payward, the parent company of Kraken, has achieved a significant milestone by obtaining comprehensive regulatory approval to initiate cryptocurrency trading and financial services in Dubai. This approval, granted by the Virtual Assets Regulatory Authority (VARA), allows Payward to function as a regulated Virtual Asset Service Provider, marking a key step in its strategy to expand operations in the United Arab Emirates.
Initial Authorization and Market Entry
The company had earlier received a preliminary authorization from VARA back in May 2026, which permitted it to lay the groundwork necessary for its regional outreach. The recent Full Market Approval clears the way for Payward to start onboarding UAE customers, offering them the ability to deposit and withdraw their funds in UAE dirhams (AED) and trade various cryptocurrencies using AED-denominated pairs.
Services for Institutional Clients
For institutional clients, Payward will introduce over-the-counter (OTC) trading options and offer services through Kraken Prime, catering specifically to major market players. In addition to traditional crypto trading, customers will have access to on-chain staking and tokenized equities via xStocks, as well as capabilities for direct crypto transfers using the Krak service.
Integrated Trading Infrastructure
Upon launch, customers will benefit from an integrated trading infrastructure that connects with Kraken’s global liquidity network. Arjun Sethi, co-CEO of both Payward and Kraken, emphasized that clients in the UAE will have access to the same trading order book available to users in other markets, ensuring consistency in service across its platforms.
Future Rollout and Product Expansion
While the announcement did not provide a specific date for when the services will begin, it hinted at a broader rollout of embedded trading services, allowing regional businesses to incorporate Payward’s trading solutions into their own offerings. This will enable users to operate with AED without needing to convert their funds into other currencies, thus simplifying the transaction process.
Spot and margin trading will be part of the initial service offerings, and institutional clients will specifically gain access to advanced trading functionalities through Kraken Prime. In an ongoing effort to build out its infrastructure in the Gulf region, Payward has already initiated discussions with major banks, including Singapore Gulf Bank, to support USD settlements for clients in Asia and the Gulf, leveraging Kraken Prime’s liquidity for those transactions.
Looking Ahead
Payward plans to enhance its product lineup in the UAE with the introduction of cryptocurrency derivatives and yield products projected for release in 2026 and 2027, pending regulatory approval. Notably, as part of its xStocks service, which connects customers to multiple financial products, Payward has been developing bank partnerships to streamline its offerings.
