Dubai’s VARA licenses 50th crypto firm as market expands

Dubai’s Virtual Assets Regulatory Authority has hit a round number that matters. VARA has now issued its 50th license to a virtual asset service provider, a milestone that would have seemed wildly ambitious when the regulator was established just four years ago.

But here’s the thing. Licensing and actually operating are two different things. Only 39 VASPs were fully operational at the end of 2025, which means a meaningful chunk of licensed firms are still in the process of transitioning from approved-on-paper to open-for-business.

The gap between licensed and operational

VARA maintains a distinction that not every crypto regulator bothers with. It separates fully active licenses, which permit a firm to conduct business, from In-Principle Approvals, which are essentially regulatory green lights that don’t yet allow commercial operations.

As of May 2026, VARA’s public register lists 49 licensed entities active in the market. The most recent addition was CoinCorner Virtual Assets Broker & Dealer Services L.L.C., which secured its license on May 5, 2026.

Who’s been getting licensed

LTP secured a license in April 2026 as an institutional broker-dealer, a category that signals VARA’s interest in drawing the kind of firms that serve professional and institutional clients rather than weekend traders. Animoca Brands Middle East, part of the Hong Kong-based Web3 conglomerate, obtained its license in February 2026.

VARA’s licensing categories now span exchanges, custody solutions, broker-dealer services, and token issuance.

Why Dubai’s approach is drawing attention

VARA was established in early 2022 under Dubai Law No. 4/2022, making it one of the first dedicated regulators for virtual assets anywhere in the world.

Recent regulatory updates from VARA have targeted market abuse and anti-money laundering compliance, with new rules rolling out through 2025 and 2026. The regulator has also turned its attention to emerging categories like stablecoins and real-world asset tokens. Enforcement against unlicensed operations has also intensified.

What this means for investors

For investors considering exposure to the Middle Eastern crypto market, VARA’s framework provides regulatory clarity through its distinction between IPAs and full licenses, which identifies which firms have cleared every hurdle versus which ones are still getting their operations in order.

LTP’s April 2026 license as an institutional broker-dealer is exactly the kind of move that tends to precede larger allocations from family offices and funds based in the MENA region.

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