Following over four years of regulatory review, Bybit has secured a Dubai license for spot cryptocurrency trading, though derivatives are excluded from its current authorization.
The exchange announced the development on October 22, noting that Dubai’s Virtual Assets Regulatory Authority (VARA) granted its local entity, Bybit Fintech FZE, a license to offer exchange services.
Bybit set up its global headquarters in Dubai in 2022. This latest milestone follows a distinct federal license granted by the UAE’s Securities and Commodities Authority last year.
Dubai Regulator Lists Bybit’s Trading License as Active in 2026
According to VARA’s public register, Bybit Fintech FZE is listed as an active virtual asset service provider. The registry entry lists October 20, 2026, as the license date and authorizes the firm to cater to retail, qualified, and institutional clients. Exchange services are specified as the permitted activity, with derivatives left off the list. The filing bears reference number VL/26/10/003 and lists the business address at the Dubai World Trade Centre.
This date contrasts with prior reports suggesting a June 20 date and indicating the application status was “Pending” when Bybit initially publicized its approval. The regulator’s current database now displays the status as “Active.” Bybit’s statement omitted an issue date. VARA regulates virtual asset operations throughout Dubai, excluding the Dubai International Financial Centre, which maintains an independent regulatory body.
Bybit’s Four-Year Licensing Process Included Several Approvals
Bybit initiated its regulatory journey in March 2022 upon receiving provisional approval from VARA. The platform advanced to a Minimum Viable Product Preparatory License in 2023, followed by provisional non-operational approval for exchange services in September 2024.
While these milestones kept the application process moving forward, they did not authorize the exchange to launch regulated spot trading within Dubai. The newly acquired full license officially authorizes the exchange services detailed in VARA’s public registry.
In October 2025, the UAE’s Securities and Commodities Authority issued Bybit a separate federal license. The company stated that this credential encompasses trading, brokerage, custody, and fiat-to-crypto conversions. While this federal permit extends across the UAE, VARA retains oversight of regulated virtual asset entities inside Dubai. Additionally, Bybit acquired a European Union crypto license in May 2025.
In its October 22 release, Bybit highlighted five additional licenses and regulatory clearances gained throughout 2026 across the European Union, the Cayman Islands, Indonesia, South Africa, and El Salvador. Chief Executive Ben Zhou stated that the organization will maintain alignment with VARA’s requirements as it scales its operations in Dubai. The platform also emphasized ongoing investments in compliance, security, and risk management.
Bybit Seeks Permission for Derivatives After Major Crypto Hack
Peter Loo, the chief legal and compliance officer at Bybit, indicated that derivatives might eventually be integrated into the Dubai branch. Nevertheless, he stressed that this expansion remains contingent upon obtaining the “necessary regulatory approvals.”
Although Bybit provides derivatives in other jurisdictions, its Dubai license currently lacks authorization for these instruments. Loo emphasized that the firm is committed to adhering to the proper procedures before rolling out additional products locally.
This milestone comes in the wake of the February 2025 hack, during which hackers made off with roughly USD 1.5 billion from Bybit. The FBI linked the breach to North Korea’s TraderTraitor hacker collective, reporting that the culprits dispersed the pilfered funds across a multitude of blockchain addresses.
The perpetrators converted portions of the stolen capital into Bitcoin and alternative cryptocurrencies while spreading them across various networks. In the aftermath of the security breach, Bybit amplified its emphasis on security protocols and regulatory adherence. The firm reports a global user base exceeding 80 million individuals.
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