Standard Chartered Bank receives in principle approval From VARA to trade crypto

Standard Chartered Bank has received an in-principle approval from Dubai’s Virtual Asset Regulatory Authority to offer crypto trading through a crypto brokerage license. This would be the first time a bank in the UAE requests to offer crypto brokerage services.

Last year, Standard Chartered Bank and UAE OKX, launched collateral mirroring program, enabling institutional clients to utilize cryptocurrencies and tokenized money market funds as off-exchange collateral for trading under a pilot overseen by the Dubai Virtual Asset Regulatory Authority (VARA).

Since 2024, Standards Chartered Bank has been offering digital asset custody solutions after receiving its license from DFSA in DIFC. One of its first clients at the time was Brevan Howard. Standard Chartered had signed a memorandum of understanding (MoU) with Dubai International Financial Centre (DIFC) to collaborate on digital assets, including digital asset custody through its Zodia Custody entity.

Today Standard Chartered Bank is seeking to offer crypto brokerage services through VARA license. This is interesting given that the UAE Central Bank had not allowed banks to directly offer crypto services but noted that they could work with partners or acquire entities to do so.

Earlier this week, Standard Chartered’s venture arm SC Ventures took a strategic stake in the crypto market maker GSR.