Bybit, one of the top global crypto exchanges, has obtained a provisional license from the Dubai regulator, only two years after establishing its headquarters in the Middle Eastern city. This move brings the platform closer to becoming a fully licensed Virtual Asset Service Provider (VASP) in Dubai.

Strengthening Dubai Presence

Announced today (Monday), the provisional license is non-operational and was issued by the Virtual Asset Regulatory Authority (VARA). Last year, Bybit also obtained a preliminary Minimum Viable Product (MVP) license in Dubai, marking its journey towards becoming a fully licensed company in the jurisdiction.

“Dubai's strategic location, progressive policies, and innovation-driven environment offer unparalleled opportunities for businesses and investors in the cryptocurrency sector,” said Helen Liu, Chief Operating Officer of Bybit.

Dubai aims to attract the cryptocurrency sector with a clear set of regulatory frameworks. In 2021, VARA was established under the Dubai Virtual Asset Regulation Law, positioning Dubai as one of the global crypto hubs. The move has been successful, with several major crypto brands, including Binance, Crypto.com, and Blockchain.com, receiving licenses from the jurisdiction.

“With its robust regulatory framework and commitment to becoming a blockchain capital, Dubai is the ideal place to advance digital currencies and foster growth in this exciting industry.”

Last month, Bybit also strengthened its Dubai presence by extending its partnership with the Dubai Multi Commodities Centre (DMCC), transitioning from being a key ecosystem partner to an advisory role.

A Major Crypto Exchange

According to Coinmarketcap.com, Bybit handled over $3.8 billion in crypto trading volume in the past 24 hours, while the derivatives volume surpassed $16.2 billion, second only to Binance.

Further, a report published by Kaiko highlighted that Bybit’s market share surged from 8 percent in October 2023 to 16 percent in June 2024, the highest growth rate among top exchanges. Coinbase’s market share increased by just a single percentage point, from 7 percent to 8 percent in the same period. Bybit’s demand surpassed the volume handled by Coinbase last March.

However, Binance lost market share, with its dominance declining to 54 percent of total volume in June, compared to 60 percent last October.