UAE regulated OKX pilots crypto collateral mirroring with Standard Chartered

UAE regulated OKX pilots crypto collateral mirroring with Standard Chartered

Standard Chartered and UAE regulated OKX, a cryptocurrency exchange have 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).

As per the press release, the initiative significantly enhances security and capital efficiency for institutional clients by using a Globally Systemically Important Bank (G-SIB) as the custodian for their collateral.

Margaret Harwood-Jones, Global Head of Financing and Securities Services at Standard Chartered said: “We understand the critical importance of robust and secure custody solutions, especially in the evolving digital asset landscape, and our collaboration with OKX to enable the use of cryptocurrencies and tokenised money market funds as collateral represents a significant step forward in providing institutional clients with the confidence and efficiency they need. By leveraging our established custody infrastructure, we are ensuring the highest standards of security and regulatory compliance, fostering greater trust in the digital asset ecosystem.”

The collateral mirroring capability has been launched as a Pilot within the Dubai Virtual Asset Regulatory Authority’s (VARA) regulatory framework, and it allows clients to benefit from enhanced protection against counterparty risk, a significant concern in the current digital asset markets.

Standard Chartered acts as the independent, regulated custodian in the Dubai International Financial Centre (DIFC), regulated by the Dubai Financial Services Authority, ensuring the safe storage of the assets used as collateral, while OKX through its VARA regulated entity, manages collateral and facilitates transactions. Franklin Templeton will be the first in a series of money market funds that will be offered under the OKX-SCB program.

Hong Fang, President of OKX, added, “As the digital assets ecosystem becomes more ingrained within traditional finance, we strive to both drive growth and safeguard client assets in the most capital efficient manner. By leveraging Standard Chartered’s position as a top custodian globally, as well as OKX’s market leadership in cryptocurrency trading, the partnership sets an industry standard for current and potential institutional clients to deploy trading capital at scale in a trusted environment.

Franklin Templeton, a recognised leader in tokenisation and real world assets (RWA), continues to innovate by leveraging blockchain technology to deliver cutting-edge solutions to customers and clients. Through this collaboration, OKX clients will gain access to on-chain assets developed by Franklin Templeton’s Digital Assets Team, seamlessly integrating them into their financial and operational structures.

Roger Bayston, Franklin Templeton Head of Digital Assets, says “Leveraging blockchain technology, our platform is built to support the dynamic and ever-evolving financial ecosystem. We take an authentic approach, from directly investing in blockchain assets to developing innovative solutions with our in-house team. By ensuring assets are minted on-chain, we enable true ownership, allowing them to move and settle at blockchain speed – eliminating the need for traditional infrastructure.”

Brevan Howard Digital, the dedicated crypto and digital asset division of Brevan Howard, a leading global alternative investment manager, is among the first few institutions to onboard onto this pioneering programme, highlighting the importance of such capabilities being offered by a leading international cross-border bank and a highly reputable global exchange.

Ryan Taylor, Group Head of Compliance at Brevan Howard and CAO of Brevan Howard Digital, commented: “This program is the latest example of the continued innovation and institutionalization of the industry. As a significant investor in the digital assets space, we are thrilled to partner with industry leaders to further grow and evolve the crypto ecosystem globally.”

Bahrain Singapore Gulf Bank offers crypto off and on ramping to retail clients

Bahrain Singapore Gulf Bank offers crypto off and on ramping to retail clients

Singapore Gulf Bank (SGB) based in Bahrain, has launched its personal banking services, and will enable instant movement between crypto and fiat via top licensed exchanges with instant off and on ramping.

Backed by Bahrain’s sovereign wealth fund Mumtalakat and Whampoa Group, SGB is the only licensed bank in the MENA region to provide global clients with remote onboarding and integrated access to both conventional and digital finance. This expansion follows strong demand for SGB’s corporate banking services and addresses long-standing pain points for globally connected customers.

SGB will offer unified access to crypto and fiat and enable instant movement between crypto and fiat via top licensed exchanges.
Instant on- and off-ramping. It will also offer direct integration with regulated exchanges allows real-time, secure conversion between digital and fiat currencies.

The bank aims to simplify cross border payments, whether via wire transfers, crypto rails or SGB-issued cards making international transactions for business, travel, education are effortless.


From high-yield savings accounts to exclusive opportunities across Asia and MENA, clients can manage both traditional and digital assets through one trusted platform.

SGB began offering services in Bahrain and sought to acquire stablecoin company

In November 2024, Singapore Gulf Bank, announced it was in talks with a Middle East sovereign wealth fund to raise $50 million to acquire a stablecoin payments company in 2025 either in the Middle East or Europe.

SGB started its operations in Bahrain serving corporate customers with digital banking services, noting that it would be extending its digital banking services to individual clients by the end of 2024. The bank added that SGB would provide a real-time settlement network, digital assets custody and intuitive trading solutions, all underpinned by robust AML/KYC measures.

In Saudi Arabia a new digital bank called D360 has received regulatory approval from the Saudi Central Bank (SAMA) becoming third digital bank in KSA. D360 will be established with a capital of SAR 1.65 billion ($440 million) through a consortium of individual and corporate investors, with the Public Investment Fund as one of the key investors. It will be led by Derayah Financial Company.

With the latest addition of D360, there are 35 licensed banks in Saudi Arabia at present, including 11 local banks, three local digital banks, and 21 foreign bank branches. There are also 19 licensed fintech companies that provide payment services, consumer microfinance and electronic insurance brokerage.

UAE regulated Tungsten Custody Solutions offers custody for Toncoin

UAE regulated Tungsten Custody Solutions offers custody for Toncoin

UAE regulated crypto custodian Tungsten Custody Solutions, has received regulatory approval from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM) to provide custody for Toncoin (TON).

As per the press release, the approval further strengthens Tungsten’s position as a trusted custodian for institutional clients seeking secure and compliant custody solutions for digital assets. TONDLT Foundation was recently established in ADGM.

Toncoin (TON) has gained significant adoption, particularly within Telegram’s ecosystem, as it recently became the exclusive cryptocurrency for non-fiat payments related to the platform’s assets and services. Tungsten’s FSRA-regulated custody ensures institutional investors and enterprises can securely store TON with institutional-grade security, compliance oversight, and risk management.

Jose Aguinaga, Senior Executive Officer of Tungsten Custody Solutions Ltd, commented, “Securing regulatory approval to provide custody for Toncoin is a significant milestone for Tungsten and our commitment to offering regulated, institutional-grade custody solutions for a wide range of digital assets. With ADGM emerging as a key hub for blockchain innovation, we are proud to be at the forefront of enabling secure and compliant access to Toncoin for institutional investors and enterprises.”

“We’re thrilled to see Tungsten receive regulatory approval from the Abu Dhabi Global Market to provide secure custody for Toncoin,” said Manuel Stotz, President at TON Foundation. “This approval reflects not only the growing institutional interest in TON, but in blockchain, crypto, and digital assets generally. It also highlights Abu Dhabi’s commitment to building a trusted, clear regulatory framework that supports decentralized organizations and champions blockchain innovation. With their deep expertise and unwavering commitment to compliance, Tungsten is the ideal partner for institutions looking to securely store Toncoin.”

Prior to this announcement, Tungsten Custody Solutions announced its support of UAE MANTRA (OM) Blockchain with its custodial services.

BitGo receives crypto custodial in-principle approval from Dubai regulator

BitGo receives crypto custodial in-principle approval from Dubai regulator

BitGo, a digital asset solutions provider offering crypto custody, and trading services has received its crypto custodial license from Dubai’s Virtual Assets Regulatory Authority (VARA). BitGo Custody MENA FZE, has received an in-principle approval (IPA) for a Virtual Assets Service Provider (VASP) license to provide custody services. This IPA marks a significant expansion of BitGo’s world-class suite of regulatory compliant custody services to leading financial markets around the world.

As per the press release, once fully approved and licensed, BitGo Custody MENA FZE will be able to offer its secure and efficient cold storage custody services to qualified and institutional investors in Dubai. 

Ben Choy, General Manager of BitGo MENA, said, “Dubai has cemented itself as a central hub within the digital asset ecosystem and we are excited to play an important role in its growth.This IPA marks a significant milestone in our journey and we are confident that BitGo’s innovative custody services will address the sophisticated needs of the market and will help deliver meaningful value to our clients.”

BitGo’s commitment to security and compliance aligns with VARA’s comprehensive regulatory framework, which is designed to protect investors and ensure market integrity. VARA’s forward thinking and innovative frameworks have positioned Dubai as the ideal choice for BitGo’s expansion into the region. 

Bitgo is one of eight virtual asset service providers currently holding in-principle approvals from Dubai’s regulator. Currently Zand Bank, Komainu, and HexTrust hold regulated licenses.

DKK Digital receives preliminary approval from VARA in UAE

DKK Digital receives preliminary approval from VARA in UAE

DKK Digital FZE, based in the Dubai World Trade Centre, as a subsidiary of DKK, has secured an in-principle approval from the Dubai Virtual Assets Regulatory Authority (VARA).

As per the press release, this is an important milestone in DKK’s journey to becoming a regulated Virtual Asset Service Provider (VASP) in the UAE.

Founded in England, DKK Partners is a multinational firm with eight offices worldwide operating as an exchange liquidity provider specializing in emerging markets. The company offers corporate and institutional clients worldwide seamless, interoperable FX and settlement solutions.

The recent In-Principle Approval from VARA enables DKK to work towards the VASP License to provide a suite of services to its clients officially. These services include seamless fiat on/off ramp capabilities, custodial services, and liquidity provision using stablecoins such as the Electronic Dirham, Tether, Ripple USD, and USD Coin. one of the services available to clients in the UAE is the DKK Ocean, an innovative e-commerce solution designed to give clients access to live-streamed rates across various fiat currencies and stablecoins.

Hisham Al Gurg, CEO of Seed Group and The Private Office of Sheikh Saeed bin Ahmed Al Maktoum, shared his enthusiasm on this development, stating, “We offer our warmest congratulations to our strategic partner, DKK Partners, on securing the In-Principe Approval. This accomplishment is a reaffirmation of their solid operational framework and innovative approach in the virtual assets sector. Their commitment to compliance with regulatory standards and forward-thinking strategies makes them a trusted partner in advancing Dubai’s digital economy.”

Driven by its goal of empowering the future of digital finance, Khalid Talukder, Co-Founder and CEO of DKK Digital FZE, remarked, “We are thrilled to have received In-Principle Approval from VARA license as a VASP. This is a key milestone that positions DKK Digital as a trusted and compliant leader in the virtual assets space. This approval aligns us with global regulatory standards, enabling us to deliver secure, innovative solutions while fostering trust among clients and partners. It also opens doors to broader markets, institutional collaborations, and the development and distribution of cutting-edge digital asset products, further solidifying our role in shaping the future of virtual assets in the UAE and beyond.”

ACCESS: Consistent, reliable access to currencies and liquidity, enabled through our local presence, global partnership network, and banking experience.

UAE Bank invests in crypto custodian Zodia Custody

UAE Bank invests in crypto custodian Zodia Custody

A leading UAE bank, Emirates NBD, has invested in a crypto custodian service provider, Zodia Custody, which is seeking to be licensed in UAE. Zodia Custody is backed by Standard Chartered, SBI holdings and others.

As per the announcement, the strategic equity investment was made by Emirates NBD’s Innovation Fund, the bank’s corporate venture fund.

Headquartered in London, Zodia Custody tailors digital asset custody solutions for institutional clients in alignment to regulatory requirements, ensuring institutions can make informed investment decisions according to market trends with the highest levels of security.

Marwan Hadi, Group Head of Retail Banking and Wealth Management, Emirates NBD, stated, “Our strategic investment in Zodia Custody reflects our commitment to creating an environment where digital asset trading venues and forward-thinking institutions can interact safely, securely and without compromise. FinTech is changing the institutional landscape rapidly and we want to ensure our ongoing support to emerging technologies to bolster this growth by bridging the gap between financial services and digital assets.”

He added, “Our investment is significant in light of the UAE’s progressive approach to digital asset regulation and its ambition to become a global innovation and technology hub. Additionally, it aligns with the Dubai Economic Agenda D33 that envisages the Emirate among the top four global financial hubs and a preferred capital market in the Middle East, Africa and South Asia region.”

Neeraj Makin, Group Head of Strategy, Analytics and Venture Capital at Emirates NBD, said, “Emirates NBD has decades of experience in leveraging innovation to simplify banking. The investment in Zodia Custody’s robust and unique offerings positions Emirates NBD at the forefront of digital asset innovation, a trillion-dollar-asset class. The MENAT region is transforming rapidly into a key player in the crypto economy fuelled by institutional and enterprise activity and a growing appetite for DeFi and Stablecoins. In line with our vision to be a digital leader in the region, we are making strategic investments via the Innovation Fund and committed to fostering a culture of innovation.”

Julian Sawyer, CEO of Zodia Custody, said, “As the fifth bank to cast a vote of confidence in our proposition, we are beyond grateful to Emirates NBD for placing their trust in us. This investment is a monumental step forward, paving the way for Zodia Custody to become a leading player globally.”

Alex Manson, CEO of Standard Chartered Ventures, said: “Emirates NBD’s investment marks the fifth TradFi institution supporting our Digital Assets venture Zodia Custody. As we build an ecosystem of infrastructure to operate Digital Assets at institutional grade, we are grateful for this recognition, support and most importantly look forward to our partnership.”

This week as well, Emirates NBD, added, its fifth member of its Digital Asset Lab, Chainlink, the standard for onchain finance, verifiable data, and cross-chain interoperability. Chainlink will join other founding members including PwC, Fireblocks, R3 and Chainalysis.

This also comes days after UAE based Zand Bank, an AI powered digital bank, received a full VASP license from Dubai’s virtual assets regulatory authority (VARA) allowing it to offer crypto custodial services. The license allows Zand to offer crypto and digital asset custodial services to institutional investors and qualified investors.

UAE crypto custodian Changer waives fees at its launch

UAE crypto custodian Changer waives fees at its launch

On its launch day, UAE based Changer, a crypto custodian is waiving custody fees for its premium wallet clients. Changer is providing individuals globally with a reliable, convenient, and accessible wallet to safeguard and manage their digital assets.

This comes after Changer received its license from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM) allowing it to safe custody provisions, technology governance, and other system controls.

Changer’s launch of custody services for the safe storage of virtual assets comes in line with an increasing demand for independent custody and fund administration of digital assets from asset managers and asset owners, as this market continues to evolve.

Changer’s premium wallet and offerings are unique to the market being the only regionally built, independent custody provider. Changer’s premium wallet brings to the market a transparent, subscription-style monthly service for users based on the assets held under custody.

As Changer ramps up its operations, it is currently waiving custody fees for early adopters, which is planned to come into effect in Q1 2024.

Cryptocurrency investors from all over the world can easily open an account via the user-friendly Changer mobile application that can be downloaded from the App Store, Google Play Store, or Huawei App Gallery, and once verified, can use it to store their digital assets.

Changer is planning to introduce additional services in early Q1 2024 which will allow its users to convert their virtual assets into fiat currencies and hold those in escrow (client-money account) arrangements with a strategic bank partner which is yet to be disclosed.

Nadeem Ladki, Senior Executive Officer of Changer, commented on the launch: “We are happy to witness the successful and global launch of Changer.ae, as the region’s first locally built, independent virtual asset custody provider catering to individuals. For widespread adoption of digital assets, users need a safe, trusted counterpart; and we are committed to investing in the infrastructure and abiding by the regulations necessary to provide that peace of mind to our global users to be a leader in this space. We are proud to launch Changer.ae in the UAE, as the Nation has a well-balanced approach to digital asset adoption and financial regulation, thus making it a great market for our premium crypto custodian service platform. The UAE is a key driver of innovation and economic growth, encouraging more investors to enter the market, accelerate growth, enable collaboration, and continue to shape the future of finance”.

Hex Trust digital asset custodian receives VARA full license

Hex Trust digital asset custodian receives VARA full license

Hex Trust, a digital asset custodian has announced that it has received a full Virtual Asset Service Provider (VASP) license from the Virtual Asset Regulatory Authority (VARA) in Dubai.

This follows the issuance of its MVP operational license in February 2023, which marks the final step in VARA’s licensing process, allowing Hex Trust to offer Virtual Assets Custodial Services to institutional clients and sophisticated investors in Dubai.

Hex Trust’s Dubai office was established in June 2022, and is led by Regional MENA Director, Filippo Buzzi.  “It is exciting for us to become one of the first virtual asset companies to receive this operating license in Dubai,” said Filippo Buzzi, Hex Trust’s Regional Director MENA. “Hex Trust is fully committed to expanding into the Middle East and sees enormous potential for digital asset growth given the progressive regulations, welcoming governments, and thriving crypto ecosystem in the region.”

“Hex Trust’s commitment to compliance and regulation has always been a priority. This focus has allowed us to be granted a full operating license in Dubai – one of the few companies to obtain this,” said Alessio Quaglini, Co-Founder and CEO of Hex Trust. “There is so much potential in the Emirate of Dubai. We’re excited to continue to scale our business in the region and make a positive contribution to the virtual asset ecosystem.”

The completion of VARA’s licensing process demonstrates Hex Trust’s commitment to provide a comprehensive, secure and compliant trading environment for digital asset investors in Dubai, and its dedication to help build the virtual asset ecosystem in the MENA region, which is fast becoming one of the world’s leading virtual asset hubs.

In July, Hex Trust received regulatory approval in France to provide digital asset custody services, introduced innovative AI-driven investment tools, and actively participated in global industry events. Hex Trust’s dedication to delivering 24/7 regulated digital asset support to its 200+ global institutional clients remains unwavering as the industry recovers from the bear market. Its resilient approach is a positive signal of confidence and underscores its commitment to building secure blockchain infrastructure and expanding its global reach as a fully-licensed digital asset custodian.

Komainu was the first to receive a digital assets custodial license by VARA.

Swiss Private Bank Julius Baer to offer digital asset wealth management services from Dubai UAE

Swiss Private Bank Julius Baer to offer digital asset wealth management services from Dubai UAE

Swiss private Bank Julius Baer in a recent Bloomberg article announced that it will be expanding its crypto wealth management services in Dubai UAE. This will be the first digital assets service offering outside of Swtizerland by the bank.

As per the article, Julius Baer’s subsidiary JBME will apply for a digital assets license variation on top of its existing permissions in the Dubai Financial Services Authority (DIFC). This would allow the entity to arrange and provide advice and custodial services on digital assets such as Bitcoin, Ethereum and other cryptocurrencies.

This is not surprising given that in Julius Baer’s recent global wealth and Lifestyle report, it published that Dubai had risen to the seventh position demonstrating its remarkable success a a destination for the wealthy.

The city has emerged as the preferred choice for companies and entrepreneurs seeking a foothold in the Middle East and is highly favoured by expatriates. By providing an attractive tax framework, investment incentives, superior living standards, robust safety measures, excellent global connectivity, and top-notch infrastructure, Dubai is poised to maintain its position among the top cities in these rankings.

In addition in 2023, Julius Baer participated in the Dubai Fintech Summit, where Jonathan Hayes Head of Digital assets development at Julias Baer spoke on the bank’s digital asset strategy.

In its 2023 strategy report Julius Baer noted that in its strategic cycle 2023-2025 the bank would focus on scaling its business in key markets through organize and inorganiz growth as well an innovate wealth management through digital advancements.

In their stategy report the bank notes, “Over the next strategic cycle 2023-2025, Julius Baer forsaw an additional investment into technology of about CHF 400 million in total, on top of today’s investment budget, to be achieved incrementally and largely capitalised. Further to current investments in its alternative assets offering, such as private markets and real estate, the Group will explore the emerging, albeit volatile, class of digital assets, keeping a close eye on how it evolves and the opportunities it presents. Integrating digital assets into its holistic wealth management proposition will position Julius Baer firmly at the interface of digital assets and the fiat world. The Group is well-prepared to successfully navigate both its clients and its business through the disruptions decentralised finance will inevitably pose.”

This comes as the UAE and Dubai become a destination of choice for global crypto exchanges seeking licenses. Dubai earlier this year launched the first virtual asset regulatory authority in the world, and has witnessed the creation of a digital assets framework on a federal level through its Security and Commodities Authority.

DIFC has also been working heavily on its digital assets framework. In April 2023, The Dubai Financial Services Authority, the regulator of Dubai International Financial Centre,noted that it has a strong pipeline of digital asset companies and global hedge funds that are looking to set up in the emirate’s financial centre. The DFSA has yet to issue a licence in the cryptocurrency space and it may take longer for companies looking to set up a new business than for those already licensed by the regulator.

UAE based Hex Trust, crypto custodian receives first MVP operational license from VARA

UAE based Hex Trust, crypto custodian receives first MVP operational license from VARA

UAE – Hex Trust is the first entity to have received an MVP Operational license from VARA. This is the third licensing stage within the VARA framework, before the FMP Operational license. This means that Hex Trust can now operate under VARA supervision and monitoring. (for more information, please see review www.vara.ae)

Mohamed Reda El Sheikh, Head of Compliance MENA &MLRO at Hex Trust, a certified Blockchain Cryptocurrency Auditor, announced this in a LinkedIn post. In the post, El Sheikh stated, “The day has finally arrived. Hex Trust is the first entity to be granted the MVP operational license, and I am the first compliance officer “MLRO” to operate under the first specialized cryptocurrency regulator in the world “VARA”. Getting this done is a team effort, and without the support of my superstar colleagues at Hex Trust, I would not have been able to accomplish it.

LaraontheBlock spoke with El Sheikh to learn more. El Sheikh explained, “We have received a Minimum Viable Product (MVP) Operational license, which allows us to offer services only to institutional clients”. As a result, we will soon start onboarding institutional clients for our crypto custody and staking services. These will be the only two services we offer to cryptocurrency institutional clients.”  

He adds, “As a regulated custodian, we must legally and technologically segregate Clients’ assets under custody.” 

In November 2022 Hex Trust received its MVP preparatory license and after adhering to all the requirements and reporting policies required from VARA are now fully operational. 

El Sheikh adds, “The license application journey was a learning experience for Hex Trust” and “the regulator was supportive throughout the process.”