Nikolas Sargeant
Animoca Brands has secured a Virtual Asset Service Provider license from Dubai's Virtual Assets Regulatory Authority, enabling the Hong Kong-based Web3 investor and platform developer to broaden cryptocurrency operations across the Middle East under formal regulatory oversight.
The license authorizes the company to offer broker-dealer services and investment management related to virtual assets in and from Dubai, excluding the Dubai International Financial Centre, according to a Monday announcement. The services target primarily institutional and qualified investors operating within Dubai's regulatory framework.
"This licence enhances our ability to engage with Web3 foundations as well as global institutional and qualified investors within a well-regulated framework," stated Omar Elassar, managing director for the Middle East and head of global strategic partnerships at Animoca Brands.
VARA, established in March 2022, is responsible for regulating and overseeing the provision, use, and exchange of digital assets across Dubai's mainland and free zones. The regulatory body has positioned Dubai as a jurisdiction seeking to balance cryptocurrency innovation with investor protection requirements.
VARA's public register shows the license was issued on February 5, permitting the company to serve institutional and qualified investors under VARA's supervision. The approval represents formal recognition of Animoca's operational standards and compliance capabilities within Dubai's digital asset regulatory structure.
Animoca Brands develops blockchain platforms and supports Web3 ecosystems, including The Sandbox, Open Campus, and Moca Network, while backing early-stage blockchain projects. The company states its investment portfolio spans more than 600 companies and digital asset initiatives, making it among the most active venture investors in the Web3 sector.
In January, Animoca Brands acquired gaming and digital collectibles company Somo, adding Somo's playable and tradable collectibles to its broader portfolio of blockchain-based projects. The acquisition reflects Animoca's strategy of expanding across gaming, metaverse, and digital collectibles verticals.
The regulatory approval adds to a growing roster of cryptocurrency businesses establishing licensed operations in Dubai. In October 2025, digital asset infrastructure company BitGo obtained a broker-dealer license from VARA, allowing its Middle East and North Africa unit to provide regulated digital asset trading and intermediation services to institutional clients in the emirate.
The approval environment has tightened alongside expansion, with VARA imposing financial penalties against 19 companies for "unlicensed" virtual asset activities and "breaches of VARA's Marketing Regulations." The enforcement actions signal Dubai's regulatory approach emphasizes compliance alongside accessibility.
Dubai and the broader United Arab Emirates have positioned themselves as cryptocurrency-friendly jurisdictions through establishment of clear regulatory frameworks designed to attract international digital asset businesses while maintaining oversight standards. The strategy has drawn multiple major cryptocurrency platforms and service providers to establish regional operations within Dubai's free zones.
