Kraken Parent Payward Receives VARA Approval for Planned Dubai Crypto Services
Payward, Kraken’s parent company, has received Full Market Approval from Dubai’s Virtual Assets Regulatory Authority (VARA). The approval allows Payward to begin offering customer services covered by its Dubai authorization. The company has not announced a launch date, and some planned products may require additional permissions.
- VARA’s approval covers regulated virtual-asset activities in Dubai, not across the entire UAE.
- Payward expects to offer dirham funding, crypto trading and other services, subject to applicable requirements.
- The company has not named its planned AED trading pairs or confirmed which products will be available at launch.
- Derivatives and additional yield products are planned for later in 2026 and during 2027, subject to further approval.
What VARA’s approval means
VARA granted Payward Full Market Approval to operate as a Virtual Asset Service Provider under Dubai’s regulatory framework and onboard customers for activities covered by its authorization. The approval follows preliminary authorization in May 2026. That authorization let Payward prepare its local operations, but did not allow it to serve customers.
The authorization falls under Dubai’s rules for virtual-asset activity. It does not grant permission to serve customers throughout the United Arab Emirates. The scope of each service depends on the relevant regulatory requirements and permissions.
Payward says its planned services target retail, professional and institutional customers. That does not mean every customer group can use every product, or that all proposed services are ready to launch. Payward has not announced a customer launch date or published a complete list of launch-day offerings.
Dirham trading and other planned services
Eligible Kraken customers in the UAE are expected to be able to deposit and withdraw UAE dirhams directly, then trade cryptocurrency pairs priced in AED. The planned offering includes spot trading, where assets are bought or sold for settlement, and margin trading, which lets customers trade with borrowed funds. Borrowing can amplify gains, but it can also magnify losses.
Payward has not named the cryptocurrencies it plans to pair with the dirham or disclosed the terms and eligibility rules for margin trading. Those details will matter just as much as the headline features when customers assess the service.
Payward also expects to offer on-chain staking, crypto transfers through Krak and xStocks, its tokenized equity offering. The company has not specified which xStocks assets will be available to customers in Dubai or explained the legal structure and rights attached to those tokens. A token described as offering exposure to shares or exchange-traded funds does not automatically mean its holder directly owns the underlying security.
Institutional customers are expected to have access to over-the-counter (OTC) spot trading and Kraken Prime. OTC trades are arranged through a dealer or service provider rather than matched on a public exchange order book. Kraken Prime is Payward’s institutional trading and liquidity service.
Payward’s shared-order-book claim
Payward says its Dubai offering will connect customers to its existing trading infrastructure and liquidity network. Co-CEO Arjun Sethi said UAE clients would have access to the same order book used in other markets.
“From launch, clients in the UAE get the same order book and multi-asset coverage we run in every other market, under one of the clearest regulatory frameworks in the world, ”
Shared infrastructure could connect local customers with activity across Payward’s markets. But a shared order book does not guarantee the same liquidity, execution prices or trading pairs in Dubai. Those will depend on the assets and services available locally, as well as actual trading conditions.
More products are planned, not yet confirmed
Payward plans to add crypto derivatives later in 2026 and additional yield products during 2026 and 2027, subject to further regulatory approval. It has not named the derivatives contracts or yield products, or provided individual release dates.
The company also plans to offer embedded trading services to regional businesses, allowing partners to integrate Payward’s trading capabilities into their own financial products. Payward has not identified potential partners or announced when those integrations might begin.
For customers, an approved business and an available product are two different things. Margin trading, staking, tokenized equities and yield products carry different risks and may have separate eligibility rules or permission requirements. VARA’s approval provides a regulatory basis for the activities it covers, but product details remain to be confirmed. Payward announced its authorization in a company release.
Key questions about Payward’s Dubai approval
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Does the approval cover the whole UAE?
No. VARA regulates virtual-asset activity in Dubai. The approval does not authorize Payward to operate across the entire United Arab Emirates.
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When will customers be able to sign up?
Payward has not announced a customer launch date.
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Which cryptocurrencies will trade against the dirham?
Payward has not identified the AED-denominated pairs planned for launch.
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Will all planned services be available at launch?
That has not been confirmed. Availability depends on applicable permissions and requirements, and Payward has not published a full list of launch-day products.
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What rights come with xStocks in Dubai?
Payward has not specified which xStocks assets will be offered locally or detailed their legal structure and associated rights.
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When are derivatives and additional yield products expected?
Payward plans to introduce them later in 2026 and during 2027, subject to further regulatory approval. Specific products and dates have not been announced.
