By
Bena Ilyas
April 22nd, 2024
As Komainu secures Dubai’s VARA license, it can offer a wide range of custody services, including collateral management and institutional staking.
Komainu, a crypto joint venture between Nomura, CoinShares and Ledger, has recently secured a full operating license from Dubai’s Virtual Asset Regulatory Authority (VARA). Last year in November 2022, the joint venture only secured a temporary MVP license from VARA.
The full license unlocks more opportunities for Komainu to expand its crypto services. As a result, Komainu will be able to offer its full suite of custody services, including collateral management and institutional staking via its Komainu Connect platform to clients in the Emirate.
The United Arab Emirates has embraced cryptocurrency innovations, facilitated by federal grants and crypto-friendly regulations designed to support entrepreneurs. Acquiring a VARA license in Dubai follows a three-stage procedure, requiring crypto exchanges to secure provisional approval, an MVP license for a minimal viable product, and ultimately a full market product license.
Among the notable crypto exchanges that have previously attained similar operational status are Binance, Bybit, Laser Digital Middle East, BitOasis (currently suspended), OKX, Crypto.com, FTX (license revoked), and Huobi.
Komainu is also under the regulatory oversight of the Jersey Financial Services Commission and maintains its headquarters in Jersey. Speaking on the development, Sebastian Widmann, Head of Strategy at Komainu, said:
“We see tremendous opportunities to scale our business here amid a significant boom in assets driven by fund formation and exchange launches. Dubai has a vibrant digital asset ecosystem and impressive talent pool, and we are proud to contribute to the growth of this innovative financial hub. Our presence and desirable regulatory status in the region marks another differentiator for us as we execute the next phase of our business.”
More About Komainu
Introduced in June 2020, Komainu presently oversees the safekeeping of assets for various entities, including exchanges, financial institutions, asset managers, corporations, and governmental agencies.
A notable collaborator of Komainu is the digital Prime Brokerage GCEX. In February 2023, GCEX partnered with Komainu to enhance its selection of regulated custodians for its institutional and professional clientele, amplifying the range of trusted custodial services available.
Komainu offers custody services for 34 native blockchains and 5,700 tokens, ensuring complete segregation of assets from both Komainu’s holdings and those of other Komainu clients.
Located in Dubai, Komainu MEA FZE showcases Komainu’s dedication to expanding its robust presence in the region. The company’s commitment is further reflected in its offices across London, Dublin, and Singapore, with the main headquarters situated in Jersey.