Bybit secured the full Virtual Asset Platform Operator License from the UAE Securities and Commodities Authority (SCA) on 9 October 2025, allowing the exchange to operate under the country’s regulatory framework. The permit enables regulated trading, brokerage, custody and fiat conversion for retail and institutional users across the Emirates. The move pulls a global operator into the local legal system and may shift regional liquidity and competition as the firm serves clients from its Dubai headquarters.
The full license followed two provisional approvals granted earlier in 2025 by the SCA and Dubai’s VARA, and Bybit states the sequence reflects a policy of meeting compliance targets before scaling business. The authorization lets the company launch trading, brokerage, custody and fiat services inside the UAE.
Emirati regulators balance market attraction with enforcement, and VARA has already fined platforms that served local clients without authorization. Technical definition: a Virtual Asset Platform Operator License allows an entity to run trading, custody and conversion of digital assets under statutory oversight in the issuing jurisdiction.
License details and regulatory background
The license channels retail and institutional flow toward a regulated venue, which can lift local liquidity and sharpen competition for exchanges based in lighter-touch zones. Yet the mix of strict rules and the reported theft creates counterparty risk that traders and treasury desks must weigh against available depth.
Bybit holds a MiCAR license registered in Austria since May 2025 covering 29 EEA countries, and the exchange reports 70 million accounts and ranks second by traded volume; it claims one-to-one reserves and publishes monthly audits. On 21 February 2025, external reports alleged a hack that removed assets worth USD 1.4–1.5 billion, a figure that conflicts with the exchange’s reserve and audit claims.
The immediate task is to launch the regulated services under SCA oversight, and the outcome will show whether the license drives measurable liquidity growth and shifts regional volume.
