Bybit is advancing toward securing a full operational license in the United Arab Emirates (UAE) following recent regulatory approval despite facing one of the largest crypto hacks in history.
On February 27, Bybit announced that it had received in-principle approval from the UAE’s Securities and Commodities Authority (SCA) to establish itself as a virtual asset platform operator. This milestone positions the exchange in the final stages of obtaining full regulatory authorization, allowing it to offer a comprehensive suite of digital asset services to both retail and institutional investors.
Notably, Bybit’s regulatory progress came just days before it suffered a major security hack on February 21, resulting in a $1.4 billion loss. The hack, which occurred during a transfer between the exchange’s cold and hot wallets, ranks among the largest in crypto history.
Despite the setback, Bybit co-founder and CEO Ben Zhou emphasized the company’s commitment to compliance and security. “This approval marks a crucial step in our journey to providing secure and transparent crypto trading solutions,” he said in the announcement, adding:
“Bybit remains dedicated to working hand-in-hand with regulators to foster a compliant and innovative digital asset ecosystem to both retail and institutional investors in the UAE.”
Beyond the UAE, Bybit is expanding its regulatory presence in various countries, including India, Georgia, Kazakhstan, and Turkey. The company recently announced its return to the Indian market after securing government registration and resuming operations. This comes after a $1 million penalty from India’s Financial Intelligence Unit for previously operating without proper registration under the Information Technology Act.
Similarly, Bybit secured a provisional license in Dubai two years after establishing its global headquarters in the city. The exchange announced that it had received a non-operational license from Dubai’s Virtual Asset Regulatory Authority (VARA). This provisional approval allowed Bybit to offer services to retail and institutional investors in Dubai.
If you want to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
