Nine Blocks Capital Management Becomes First Crypto Hedge Fund to Obtain VASP License from VARA
Nine Blocks Capital Management has made history by becoming the first crypto hedge fund to receive a Virtual Asset Management and Investment Services license from Dubai’s Virtual Assets Regulatory Authority (VARA), according to a press release from the company. This license allows Nine Blocks to operate as a regulated entity in Dubai’s cryptocurrency market. In addition to this groundbreaking achievement, Nine Blocks also announced that it will be relocating its headquarters to Dubai, which is quickly emerging as a global hub for the crypto industry.
Dubai: A Growing Crypto Hub
Dubai has been attracting numerous crypto-related businesses recently. Just this month, crypto.com obtained its Virtual Assets Service Provider license under VARA. The city has been praised for its effective regulation of the crypto space while still supporting innovation and adoption. Other major players in the industry, such as Kraken, OKX, and Binance, have also established a presence in Dubai. Binance, in fact, became the first digital asset exchange to acquire an Operation Minimum Viable Product (MVP) license under VARA in June.
Middle East and North Africa’s Crypto Market
The Middle East and North Africa region accounts for nearly 7.2% of global transaction volume in the crypto market, with an annual on-chain value exceeding $389.8 billion. This highlights the significant role that this region plays in the global crypto ecosystem.
Regulatory Crackdown Elsewhere
While Dubai continues to attract crypto businesses with its supportive environment, regulators in North America have been cracking down on the industry. Binance founder Changpeng Zhao recently pleaded guilty to several violations and stepped down as CEO of the world’s largest crypto exchange. The company has been ordered to pay $4.3 billion in fines and penalties. This stands in contrast to Dubai’s approach, which embraces blockchain technology and fosters a thriving crypto industry.
Hot Take: Nine Blocks Capital Management Leads the Way in Dubai’s Crypto Revolution
Nine Blocks Capital Management has set a new precedent in the crypto industry by becoming the first crypto hedge fund to obtain a VASP license from VARA in Dubai. This accomplishment not only solidifies Nine Blocks’ position as a regulated entity but also demonstrates Dubai’s growing importance as a global hub for cryptocurrencies. With its supportive regulatory environment and attractive business opportunities, Dubai continues to attract major players in the crypto industry. As other regions tighten their regulations, Dubai remains committed to fostering innovation and adoption in the crypto space.
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