Two out of the notable top 10 most prominent cryptocurrency exchanges by volume will broaden into new markets, with Crypto.com acquiring a provisional crypto approval in Dubai and FTX launching in Japan.
Crypto.com disclosed on June 2 that the Dubai Virtual Assets Regulatory Authority (VARA) presented the exchange with the provisional crypto approval of its Virtual Asset License giving the company the authorization based on initial compliance checks.
The exchange announced that VARA would carry out further checks and other mandated requirements before its full operating license, which is anticipated to happen soon in the “near term.”
Crypto.com announced in March that it would establish a regional office in the United Arab Emirates (UAE) largest city after it authorized new laws for crypto and created VARA, intending to make Dubai a global hub for crypto.
The UAE Minister of State for Foreign Trade, Dr. Thani Al Zeyoudi, said that the country believes “cryptocurrencies, virtual assets, and blockchain will revolutionize the financial services sector.” He added it’s “attracting companies to the UAE to build on this vision and enable future technologies to flourish here.”
FTX Japan launches
FTX — which has surpassed Coinbase to become the second-largest centralized exchange in terms of volume — has launched FTX Japan to provide service to its Japanese customers after it acquired the local Liquid crypto exchange in February.
Japan has strict regulations for crypto exchanges wanting to operate in the country. The commissioner of the crypto regulator, the Financial Services Agency (FSA), even acknowledges it makes things “rather tough” for exchanges.
FTX CEO Sam Bankman-Fried disclosed that “Japan is a highly regulated market with a potential market size of almost $1 trillion” for crypto trading.
The developments are in stark contrast to other crucial crypto firms that have to cut staff due to the ongoing bearish conditions.
Gemini exchange reportedly intends to cut 10% of its employees due to unfavorable market conditions; Coinbase also disclosed in mid-May that it’s delaying hiring to ensure it can overcome the dampened market.
At the end of April, the crypto-friendly trading platform Robinhood released 9% of its workforce, with its stock price at an all-time low as part of a broader market downturn.
