Animoca Granted Dubai License Amid Stricter Crypto Oversight

Group 1 - Animoca Brands has obtained a Virtual Asset Service Provider (VASP) licence from Dubai's Virtual Assets Regulatory Authority (VARA), allowing it to offer broker-dealer and asset management services to institutional and qualified investors in Dubai [1][2] - The licence enables Animoca to operate across Dubai, excluding the Dubai International Financial Centre, and is part of the region's efforts to build regulated infrastructure for digital assets while tightening operational rules for firms [2][4] - The company emphasizes its focus on institutional clients in Dubai, which is strategic given its growth in institutional products such as Real World Assets (RWAs) [3] Group 2 - Dubai's updated regulatory framework prohibits licensed exchanges and financial institutions from facilitating privacy-focused tokens, citing anti-money laundering and sanctions compliance risks [4][6] - The framework, effective last month, also bans the use of privacy devices that obscure transaction details, further tightening regulations [5] - The definition of "fiat crypto tokens" has been narrowed to only include tokens pegged to fiat currencies and backed by high-quality, liquid assets, disqualifying many stablecoins currently in circulation [6] Group 3 - Stricter token and anti-money laundering standards are seen as making Dubai more attractive to serious global players, providing regulatory clarity needed for institutional scaling [7] - The ban on privacy tokens and tightening around mixers and stablecoins signals a preference for "clean capital," aligning with the interests of large funds, banks, and listed companies [7]