Dubai’s regulator VARA warns against MKAN Coin

Dubai’s regulator VARA warns against MKAN Coin

Dubai’s Virtual Assets Regulatory Authority (VARA) has issued an alert regarding MKAN Coin, which operates as a crypto trading exchange, based out of DMCC. The coin which uses the domain www.mkancoin.com has been advertising virtual asset activities accessible within the UAE but with no regulatory approval.

VARA has instructed MKAN Coin to cease all marketing activities and has issued a fine.

According to the crypto regulator, engaging with unlicensed platforms exposes users to significant financial risk and potential legal consequences for violating regulatory requirements. The regulator notes that in accordance with Dubai Law No. (4) of 2022 and Cabinet Resolution No. 111/2022, all virtual asset service providers must be licensed to operate legally in this jurisdiction. MKAN Coin does not meet these legal requirements and is not authorized to provide any virtual asset services in/from the Emirate of Dubai.

Furthermore VARA advised consumers and investors in the UAE to avoid using MKAN Coin, and to exercise caution when considering interactions with unregulated platforms. Users should be aware that access to the MKAN Coin website has been suspended voluntarily, and it is recommended to take immediate necessary measures to ensure protection of user assets.

This is not the first time that Dubai’s regulator has warned against unregulated VASP activities. In April 2023, VARA issued an alert and warning with regards to virtual asset exchange OPNX (opnx.com) which launched on April 4th 2023.

Then in October 2023, it warned investors and market participants of the unauthorized issuance, marketing, and retail distribution of Islamic Coin (ISLM) from Bored Gen (BG) DMCC based out of Dubai UAE.

Most recently in December 2024, the regulator issued alerts for seven crypto entities claiming to be registered and licensed in Dubai. The entities include, Koto Crypto, Finchain, Crypto Force, Coin Cashy, BTC Bay, XT, and Stabit.

Circle’s USDC and EURC available to 600 entities in Dubai’s DIFC

Circle’s USDC and EURC available to 600 entities in Dubai’s DIFC

Dubai’s DIFC ( Dubai International Financial Centre) has officially approved Circle’s stablecoins USDC and EURC into its crypto token regime which will allow these stablecoins to be used by more than 600 entities in DIFC.

The USDC and EURC will be the first approved stablecoins in DIFC, after DIFC approved crypto tokens that included TON, XRP, Bitcoin, Ethereum, and others.

Entities in DIFC will be able to use the stablecoins USDC and EURC to make payments, treasury management and other financial applications.

Circle in December 2024 incorporated its entity in ADGM in Abu Dhabi , as part of its strategic expansion into the Middle East and Africa. It also entered into a partnership with LuLu Financial Holdings (‘LuLuFin’), and its affiliates, one of the largest financial services conglomerates in the region, to facilitate remittances and cross-border payments with USDC, Circle’s fully-reserved digital dollar.

“The DFSA’s approval of USDC and EURC as recognized crypto tokens within the DIFC is yet another validation of our constructive approach to regulatory and policy engagement,” said Dante Disparte, Chief Strategy Officer and Head of Global Policy and Operations at Circle. “As the first stablecoins to receive this designation, USDC and EURC continue to set the global standard for transparency, compliance, and utility. This milestone aligns with our mission to make digital dollars and euros more accessible, interoperable, and useful for businesses, developers, and financial institutions worldwide.”

Central Bank of UAE released its stablecoin payments regulation in 2024

The importance of USDC being accepted into DIFC cannot be viewed without looking at the bigger picture of stablecoin regulation in the UAE. The Central Bank while noting that only AED backed stablecoins could be used for purchasing products and services within the UAE, it did note that UAE regulated stablecoins could be used for purchasing of virtual assets and that these stablecoins could be regulated by DIFC, ADGM or VARA.

Already AE Coin has been regulated in the UAE as an AED backed stablecoin and Tether is seeking to receive a license for its AED stablecoin.

AFS to offer stablecoin payment platform for merchants in UAE

AFS to offer stablecoin payment platform for merchants in UAE

Arab Financial Services (AFS), regulated by the Central Bank of Bahrain and Egypt, also holding a retail payment license in the UAE has partnered with Ternoa Blockchain to launch stablecoin and crypto payments across POS ( Point of Service) counters for UAE merchants. The partnership will expand across the GCC.

Ternoa, is a fast, secure & cost-efficient PayFi network that is designed to onboard billions of retail customers into crypto. Ternoa as per the announcement will use decentralized consumer finance protocol, Athar, a secure and cost-efficient PayFi network to onboard UAE merchants into the crypto and stablecoin era. Athar will enable stablecoin payments at Point-of-Sales (PoS) terminals.

AFS is owned by a total of 37 banks and financial institutions and services over 60 banks in more than 20 countries across the Middle East and African region.

The Athar protocol will make crypto payments easier and more accessible for every day transactions with AFS deploying the Athar solution for merchants in UAE.

Samer Soliman, AFS CEO noted that AFS is committed to driving innovation in the payments industry and expanding access to seamless, secure, and future-ready solutions.

He stated, “By integrating stablecoins and decentralized finance, we are unlocking new possibilities for merchants and consumers across the UAE, paving the way for the broader adoption of digital payments in the region.”

Ternoa CEO, Mr. Mickael Canu added, “The next big step for blockchain and digital finance is making it useful in everyday life. The payments and financial services industries are massive and bringing them onto Ethereum will open up exciting new possibilities. Our partnership using Athar with AFS will make digital payments faster, more secure, and accessible.”

AFS received UAE Retail Payment Service License in 2024

AFS recently made a strategic expansion into the United Arab Emirates (UAE). The move followed the successful acquisition of a Retail Payment Services License – Category II from the Central Bank of the UAE by Arab Financial Services L.L.C, allowing AFS to introduce a comprehensive suite of innovative and secure payment solutions tailored to the country’s dynamic financial landscape.

At the time Soliman noted that the license was a pivotal juncture in their regional expansion strategy. He noted that they were excited to launch innovative payment solutions in the country.

“Expanding into the UAE is a tremendous opportunity for us to bring our market-leading payment and fintech capabilities to a country that values innovation and security in digital financial services,” said Rizwan Khan, Managing Director for AFS UAE and Oman. “We are delighted to partner with local businesses and regulatory bodies to help nurture an inclusive digital ecosystem that meets the fast-evolving needs of the UAE and contribute to strengthening the country’s standing as a global fintech hub.”

UAE Central Bank passed stablecoin payments regulations

The UAE Central Bank in 2024 passed its stablecoin payment regulations that allowed regulated AED-backed stablecoins to be used inside the country for the purchase of products and services.

UAE based XDC network launch money fund tokens with Archax

UAE based XDC network launch money fund tokens with Archax

UAE based XDC Network, an enterprise-grade Layer-1 blockchain, have launched the first money fund tokens on its platform in collaboration with Archax, the FCA regulated digital asset exchange, broker and custodian.

As per the announcement this builds on the previous partnership announcement between XDC and Archax for real-world asset (RWA) tokenization. The first fund tokens that are live represent four of the world’s largest MMFs from providers including abrdn, Fidelity International and State Street, and will be followed by others from the 100+ available through Archax from a variety of asset managers.

Tokenized access to money market funds addresses a growing demand from institutional investors for regulated, digital-first financial products. There are currently $11.5 billion tokenized RWAs on-chain with some projections estimating the value could reach $16 trillion by 2030. By bringing these established investment vehicles onto the blockchain, XDC Network and Archax are creating new opportunities for improved liquidity, faster settlement, and reduced operational costs.

“Providing digital representations of major MMFs opens up a potential new audience for these types of yield-bearing products that historically have been challenging for some to access,” said Keith O’Callaghan, Head of Asset Management and Structuring at Archax. “We’re excited to hit this milestone with XDC Network, a firm that is poised to become one of the railways of the future of the finance industry.”

The implementation leverages XDC Network’s delegated proof-of-stake consensus mechanism, enabling transactions with sub-second finality and near-zero gas fees. The platform’s enterprise-grade infrastructure aims to meet compliance with institutional requirements for security, scalability, and regulatory reporting.

“With our platform’s robust performance and functionality, we have the ideal protocol for real world asset tokenization for institutions who want to work with regulated entities like Archax,” said Angus O’Callaghan, Head of Trading and Markets at XDC Network. “We’re excited to be taking this next step in our partnership with Archax and unlock access to some of the world’s largest MMFs with transparency and efficiency.”

Earlier RAK DAO, the free zone for digital assets companies located in the emirate of Ras Al Khaimah UAE, partnered with XDC Blockchain the accelerator program – Builder’s Oasis with a funding pool of $2 million.

B Capital establishes office in Qatar to support Fintech businesses

B Capital establishes office in Qatar to support Fintech businesses

B Capital today announced that it has established a new office in Doha as part of its expansion into the Middle East. A global multi-stage technology investment firm focused on enterprise, fintech, healthcare and climate sectors, B Capital plans to bring its global expertise to help advance innovation in the region. In addition, the firm will partner with Qatar Investment Authority (“QIA”), the sovereign wealth fund of the State of Qatar, to help drive these efforts.


“B Capital has been dedicated to identifying and supporting visionary entrepreneurs across North America and Asia, and we are attracted to the Middle East as a rapidly emerging hub for innovation,” said Raj Ganguly, Co-Founder and Co-CEO of B Capital. “With our deep global expertise, particularly in AI, and our commitment to backing transformative companies, we look forward to helping the region’s most innovative businesses shape the future of technology.”

B Capital invests globally in exceptional founders and businesses driving innovation through technology. With over $8 billion in assets under management, the firm targets seed to late-stage growth technology investments. B Capital’s value-add platform, as well as its strategic partnership with The Boston Consulting Group, equips entrepreneurs with the tools and resources to scale quickly, expand into new markets and build market-leading businesses.

Dubai crypto regulator monitoring and tracking Bybit hack situation

Dubai crypto regulator monitoring and tracking Bybit hack situation

Dubai Virtual Assets Regulatory Authority has confirmed to Lara on the Block that they are actively monitoring the ByBit hack situation as the matter evolves and are closely tracking it until it stabilizes. The statement was made after Bybit, the second largest crypto exchange globally was hacked on February 21st 2025, losing $1.4 billion in Eth.

As per Bybit, whose headquarters are based in Dubai UAE, the exchange detected unauthorized activity within one of their Ethereum (ETH) Cold Wallets during a routine transfer process. The transfer was part of a scheduled move of ETH from their ETH Multisig Cold Wallet to their Hot Wallet. Unfortunately, the transaction was manipulated by a sophisticated attack that altered the smart contract logic and masked the signing interface, enabling the attacker to gain control of the ETH Cold Wallet. As a result, over 400,000 ETH and stETH worth more than $1.5 billion were transferred to an unidentified address.

It was later found that the Lazarus Group out of North Korea were responsible, and since then have been transferring ETH to new addresses through ChainFlip.

VARA spokesperson told Lara on the Block, ” Bybit has not been granted a regulatory licence under VARA, and is currently working towards fulfilling the stringent licensing requirements to secure a VASP operating permit in Dubai. As part of VARA’s rigorous due diligence, we have been actively monitoring the situation since the hack on ByBit was confirmed last night – this remains a highly evolving matter that we will continue to closely track until it stabilizes.”

Bybit headquartered in Dubai UAE

Bybit had set up its headquarters in Dubai UAE back in 2023, citing it as one of the most progressive crypto jurisdictions. The crypto exchange then received its in-principle license in September 2024 and is still in the process of receiving its full license. Bybit has been very active in the UAE partnering and working with entities to increase crypto awareness and investments in the ecosystem.

Bybit in turmoil after $1.4 billion hack

The Bybit hack is the biggest loss in the entire history of crypto exchanges. The exchange lost 400,000 ETH and stETH worth more than $1.5 billion. What is more interesting is since the hack the exchange has seen withdrawals of more than $5 billion. According to Bybit CEO Zhou speaking in an X space, ” Fortunately the company’s assets are far greater than $1.5 billion, there is a cold wallet in safe with nearly $3 billion in USDT, and fortunately this has not been stolen.” He adds though that, “if more than $10 billion was stolen, it might be necessary to consider selling the company.”

Cryptocurrency exchange Bybit has maintained reserves exceeding its liabilities despite suffering a $1.4 billion hack and an overall $5.3 billion decline in total assets, according to DefiLlama data. Bybit processed more than 350,000 withdrawal requests within 10 hours, completing 99.9% of them by 1:45 am UTC, Bybit co-founder and CEO Ben Zhou noted.

“Although we have been hit by the worst hack possibly in the history of any medians (banks, crypto, finance), But all Bybit functions and product remain functional, the Whole team had been awake all night to process and answer client questions and concerns,” Zhou wrote.

One of the exchange updates stated that they had reported the case to the appropriate authorities, and have worked quickly with on chain analytics such as Chainanalysis, and Hacken to identify and demix the implicated addresses.

Global crypto community shows solidarity with Bybit

In a show of solidarity, other crypto exchanges such as Bitget, Binance, OKX, and even some Chinese cryptocurrency leaders are actively transferring ETH to Bybit to support its liquidity. Even Huobi co-founder Du Jun deposited 10,000 ETH to Bybit as well as founders of Conflux and Mask Network.

In a recent Xpost Zhou also thanked MEXC, Solana, TON, Blockchain UAE, Ghaf Capital in UAE as well as Tether and Galaxy Digital among others.

Additionally according to Ethescan, the Mantle powered mETH Protocol has salvaged 15,000 cmETH from Bybit Exploiters worth about $2.76 million.

Updated at 8:00 pm Dubai UAE time

Bahrain and Malaysia to cooperate on crypto sandbox

Bahrain and Malaysia to cooperate on crypto sandbox

In a recent official visit by Malaysia’s Prime Minister Datuk Seri Anwar to Bahrain where he met with Bahrain’s Minister of Finance and Economy Shaikh Salman Bin Khalifa Al Khalifa to Malaysia, discussions on cooperating when it comes to cryptocurrencies and fintech were revealed.

As per Malaysia’s Prime Minister Datuk Seri Anwar both Malaysia and Bahrain are committed to strengthening their economies including areas related to cryptocurrencies and a potential sandbox platform.

“In addition, we also discussed cooperation in tourism, the connectivity between Kuala Lumpur and Manama, as well as in the manufacturing sector,” he said in a statement today.

Anwar said that Bahrain had also expressed its commitment to the success of the Asean-Gulf Cooperation Council (GCC) Summit and the Asean-GCC+China Summit, which will be attended by Crown Prince and Prime Minister Sheikh Salman Hamad al-Khalifa.

Malaysia discussed crypto regulatory frameworks with Binance and UAE as well

Earlier in January 2025, Malaysia’s Prime Minister Datuk Seri Anwar Ibrahim met with Binance founder Changpeng Zhao and UAE officials to discuss potential crypto regulatory frameworks. The discussions, which took place during Anwar’s three-day official visit to Abu Dhabi, centered on establishing policies that could recognize the crypto industry and modernize Malaysia’s financial system.

As noted at the time, Ibrahim stated, “I had lengthy discussions with the Abu Dhabi leadership and Changpeng Zhao, co-founder of the world’s largest cryptocurrency platform, Binance,” Anwar said, adding that he has urged the central bank and Treasury to study digital finance to avoid being left behind and protect the public interest.”

UAE policymakers expressed willingness to collaborate with Malaysia in developing its crypto regulatory approach.

Bahrain one of leading crypto regulated MENA countries

Bahrain was one of the first countries in the Middle East and Gulf to regulate cryptocurrencies through its Central Bank. It also launched a crypto sandbox and has since licensed several crypto exchanges including Binance, Crypto.com, CoinMENA, RAIN, BitOasis and others.

It is currently working on its stablecoin regulations as well as researching CBDC implementations.

Crypto Regulations in Malaysia need further development

Malaysia considers crypto as securities and are traded as such in the country, however The Central Bank of Malaysia Act establishes the ringgit as the country’s sole legal tender, effectively excluding cryptocurrencies from this status. Oversight of cryptocurrencies is shared between Bank Negara Malaysia and the Securities Commission. The central bank handles general crypto matters, while the securities regulator regulates digital currencies classified as securities.

Yet their crypto regulations still lack transparency and consistency.

There have been calls from within the government to adopt a more progressive stance towards cryptocurrencies. In March 2022, Zahidi Zainul Abidin, the deputy minister of the Communications and Multimedia Ministry, suggested that Malaysia should adopt bitcoin and other cryptocurrencies as legal tender. “We hope the government can allow this,” Zahidi said in Parliament, according to Bloomberg.

Additionally, religious authorities in Malaysia, such as the Shariah Advisory Council of the Securities Commission, have recognized digital currencies as a form of property from an Islamic perspective, further legitimizing their use within the country’s predominantly Muslim society, according to a study published in the Journal of Fatwa and Falak Selangor.

Still Malaysia faces one major issue with crypto and that is illegal crypto mining. stimates from the Deputy Energy Minister put the cost of this illegal activity at roughly $723 million in stolen electricity between 2018 and 2023.

UAE MANTRA tokenization platform launches Google supported accelerator

UAE MANTRA tokenization platform launches Google supported accelerator

UAE based MANTRA, a layer 1 blockchain purpose-built for tokenized real-world assets (RWAs) has launched RWAccelerator – a start-up accelerator program designed to empower builders and startups with investment capital, mentors, dedicated AI support supported by Google Cloud.

The RWAccelerator program will focus on projects with a strong interest in the tokenization of real-world assets, across real estate, financial products and alternative assets.

The World Economic Forum projecting that by 2027, 10% of the world’s GDP – approximately $10 trillion – will be stored on blockchain networks, with Real World Assets (RWAs) playing a significant role in the transformation.

Applicants to the RWAccelerator will have the choice of three themed tracks; infrastructure, tokenization and DeFi. Selected projects will receive support from the Google for Startups Cloud program that provides access to Google Cloud resources including cloud credits, technical support and workshops led by Google engineers.

“This is a powerful opportunity for startups to harness cutting-edge technology and gain access to resources and mentorship,” said John Patrick Mullin, CEO of MANTRA. “With support from Google Cloud, this RWAccelerator will allow startups to reach new heights and significantly contribute to the wider Web3 community.”

Richard Widdman said, “We’re excited to collaborate with MANTRA to support the next wave of innovative Web3 startups focused on tokenizing real-world assets. By providing access to Google Cloud’s infrastructure and expertise, we aim to create an environment where these startups can truly thrive, experiment, and push the boundaries of what’s possible in the Web3 space.”

Applications for the first intake to the RWAccelerator will be accepted starting today through March 20, 2025.

The announcement comes as Mantra Finance secures Dubai VARA VASP license for DeFi.

UAE regulated GCEX crypto exchange launches new crypto tool

UAE regulated GCEX crypto exchange launches new crypto tool

GC Exchange FZE (GCEX), part of the GCEX Group, a UAE regulated crypto exchange offering trading technology has launched XplorAllocate, a multi-asset crypto tool designed to help fund managers and professional traders allocate trades more efficiently, accurately, and transparently across crypto spot, crypto derivatives, forex CFDs, and traditional financial products.

GCEX’s XplorAllocate addresses this by streamlining trade execution and allocation, resulting in improved accuracy and enhanced compliance. Instead of managing individual client accounts separately, fund managers and professional traders can now execute a single block trade, which is then automatically allocated across their clients based on their proportional share of the total investment pool – reducing the time spent on this task without having to use a PAMM, MAM, or similar tools.

Mehtap Önder, Managing Director, GCEX MENA commented, “Traders need tools that make their lives easier, not more complicated. With GCEX’s XplorAllocate, we’re providing a seamless, automated solution that takes care of the heavy lifting, removing the complexity of manually executing trades for each client, saving time, reducing errors, and ensuring that every allocation adheres to regulatory and investment policy requirements. Whether you’re trading crypto derivatives or traditional financial products, this tool simplifies the allocation process so you can focus on what really matters – executing your strategy.”

With real-time visibility, traders using GCEX’s XplorAllocate gain full transparency and a clear audit trail. The tool’s customisable allocation logic provides flexibility and ensures that trades are distributed accurately based on portfolio needs. It allows users to allocate by percentage or share size and combine multiple orders into custom average prices.

XplorAllocate is part of GCEX’s broader strategy to enhance its institutional-grade XplorDigital solutions for institutional and professional clients. XplorDigital features innovative plug-and-play solutions, ‘Crypto in a Box’ and ‘Broker in a Box’.

Blockchain tokenization entity CryptoAutos acquires $20 million worth of luxury vehicles in Dubai

Blockchain tokenization entity CryptoAutos acquires $20 million worth of luxury vehicles in Dubai

CryptoAutos,a Real-World Asset (RWA) entity in the Blockchain tokenization space, has acquired a rental fleet of luxury vehicles worth $20 million in Dubai UAE. As per the announcement CryptoAutos is seeking to bridge digital assets with physical assets and aimed at redefining vehicle ownership and investment through blockchain technology.

“Acquiring real-world assets and making them accessible through tokenization is at the core of what we do,” said Waqas Nizam, Founder of Crypto Autos. “This $20M fleet acquisition is another step towards enabling individuals to leverage their digital assets in meaningful, practical ways. Let’s put it into perspective – we’ve spent $20M on this fleet, this is significantly more than the majority of RWA projects have managed to raise.”

Backed by multiple funding rounds of $60,000,000 and $7,500,000 CryptoAutos will create investment opportunities in its fleet, allowing users to potentially earn yield in USDT from both the rental and sales of its luxury vehicles. Investors will benefit from an estimated annual rental yield of $15,000,000, making this a lucrative real-world asset-backed investment.

Through CryptoAutos’ platform, users can invest in fractional ownership of high-value vehicles, receive potential rental-based earnings.
Gain exposure to the appreciation and resale value of exotic cars, and by combining the efficiency of blockchain with real-world revenue streams, CryptoAutos ensures that digital asset holders can participate in a stable, high-yield investment model.

CryptoAutos’ decision to establish a stronghold in Dubai aligns with the region’s growing adoption of crypto-backed investments and digital finance.

“With its progressive stance on blockchain and finance, Dubai is the perfect location for our first acquisition,” added Waqas. “The city provides the ideal ecosystem for RWAs to flourish, and we are excited to drive this movement forward.”

As the company continues its expansion, CryptoAutos is set to introduce additional asset-backed opportunities, further bridging the gap between Web3 and traditional industries. The latest acquisition is just the beginning of a broader strategy to integrate RWAs into everyday transactions, making digital asset usability more practical than ever before.

It is noteworthy that CryptoAutos, while having acquired $20 million worth of vehicles in Dubai UAE, has yet to be regulated in the country.