Kraken's parent company Payward has made significant progress in its expansion plans for the United Arab Emirates (UAE). On May 21, 2026, Payward secured regulatory authorization from Dubai's Virtual Assets Regulatory Authority (VARA) to offer regulated cryptocurrency services within the UAE. This approval marks a crucial milestone for Kraken as it looks to establish itself as a major player in the region.
The regulatory clearance allows Kraken to deploy a range of regional products through its locally regulated entity, subject to oversight by Dubai's virtual asset framework. These offerings include spot trading, margin trading, over-the-counter execution, staking, and institutional access via Kraken Prime. Additionally, the platform plans to introduce peer-to-peer crypto transfers through Krak, although specific product availability will depend on individual client classification and final local approvals.
The implementation of local currency rails is expected to streamline user access to crypto liquidity by eliminating the need for regional clients to use US dollars or euros. Later this year, UAE clients are scheduled to receive direct dirham funding and withdrawal capabilities alongside AED trading pairs. This development positions Kraken to cater to the growing demand for cryptocurrencies in the region.