Executive Summary
Bybit, the world's second-largest cryptocurrency exchange by trading volume, has secured the United Arab Emirates' first full Virtual Asset Platform Operator License from the Securities and Commodities Authority (SCA). This federal authorization permits Bybit to offer a comprehensive range of regulated virtual asset services, including trading, brokerage, custody, and fiat conversion, throughout the entire UAE mainland, establishing a significant precedent for digital asset regulation in the region.
The Event in Detail
Bybit received the full Virtual Asset Platform Operator License following its In-Principle Approval (IPA) in February 2025, supported by the Blockchain Centre in Abu Dhabi. This license is issued by the SCA, which functions as the federal-level regulator for virtual assets across the UAE, under Cabinet Decision No. (111) of 2021. The authorization enables Bybit to integrate its complete suite of global products into regulatory compliance, reinforcing the exchange's operational maturity and adherence to robust governance standards.
Ben Zhou, Co-founder and CEO of Bybit, stated, "Receiving the full Virtual Asset Platform Operator License from the SCA is a testament to Bybit's unwavering commitment to building trust through compliance and transparency." He further noted that the "UAE has emerged as a global leader in digital asset regulation." Helen Liu, Co-CEO of Bybit, acknowledged the SCA's "clear, robust, and well-structured regulatory framework," providing a foundation for exchanges to operate with confidence.
This milestone is part of Bybit's broader global regulatory strategy, which includes securing MiCAR registration in Europe and resuming full operations in India following compliance adjustments.
Market Implications
The acquisition of a federal SCA license provides Bybit with a distinct competitive advantage within the UAE's evolving digital asset landscape. Unlike licenses issued by Dubai's Virtual Assets Regulatory Authority (VARA), which primarily govern operations within Dubai, Bybit's SCA license grants nationwide authority. This allows Bybit to extend regulated services across all Emirates, a scope not currently afforded to exchanges operating solely under VARA, such as Binance and OKX, which hold provisional or operational licenses limited to Dubai.
This development reinforces the UAE's strategic objective to become a leading regulated hub for virtual assets. The federal nature of the SCA license is expected to attract further institutional investment and businesses seeking regulatory clarity and stability, contrasting with more adversarial regulatory environments observed in other global markets.
Ben Zhou has emphasized Bybit's commitment to compliance and transparency as foundational for sustainable growth in the digital asset sector. This approach aligns with a growing industry trend where institutional clients increasingly seek stable, compliant trading partners. The SCA's willingness to provide a comprehensive regulatory framework is viewed as a supportive measure for fostering innovation within a secure ecosystem.
Broader Context
Bybit plans a significant expansion of its local footprint within the UAE. This includes establishing a larger regional operations center in Abu Dhabi, with projections to employ over 500 individuals across Abu Dhabi and Dubai. The company also intends to accelerate local hiring in compliance, operations, and customer service roles, alongside introducing new educational and Web3 innovation programs in collaboration with local partners. These initiatives underscore Bybit's long-term commitment to the Middle East and its role in shaping the region's digital asset economy. Globally, Bybit's trading volumes have demonstrated sustained growth, reflecting user confidence in exchanges prioritizing transparency and security in a volatile market environment.
Edgen Crypto·Oct 09 2025, 16:13