DeFi Platform MANTRA Finance Scores VASP Licensing in Dubai
DeFi platform MANTRA Finance said Wednesday that it secured a Virtual Asset Service Provider (VASP) license from Dubai’s Virtual Assets Regulatory Authority (VARA).
This achievement allows MANTRA to operate as a virtual asset exchange, offering broker-dealer and investment management services under a regulated framework.
With this license, MANTRA can now introduce a range of regulatory-compliant financial products for global investors. This milestone also strengthens its presence in the Middle East.
A key focus of this expansion is the tokenization of real-world assets (RWAs). This area is gaining traction as traditional and digital finance continue to converge.
MANTRA Gains Competitive Edge in UAE’s Thriving Virtual Asset Market
MANTRA’s platform uses blockchain to provide non-custodial financial services. It combines the benefits of DeFi with the security and structure of traditional finance. The company plans to launch investment products with greater transparency, faster trade settlement and improved asset control for users.
With its new license, MANTRA gains a competitive edge in the UAE’s growing virtual asset sector, which is attracting significant institutional interest. The firm aims to collaborate with other regulated entities in the region to further shape the digital asset industry’s future.
As MANTRA scales its operations, investors can expect a suite of DeFi products designed to meet the industry’s changing needs while adhering to both local regulations and global financial standards.
Dubai’s Strict but Favorable Crypto Laws Attract Global Investors
Dubai has emerged as a global leader in crypto regulation, with VARA establishing a framework to govern virtual assets and Web3 enterprises. MANTRA CEO John Patrick Mullin pointed to the importance of this regulatory milestone, calling the license a “crucial step” in the company’s path toward international growth.
“The UAE and broader MENA region has fast become a progressive global hub and thriving ecosystem for Web3 and virtual assets owing to their regulatory initiatives and frameworks,” Mullin said. “Our goal is to build a future-focused financial ecosystem that benefits institutional and qualified investors globally.”
A study conducted late last year identified Dubai as one of the top destinations for crypto businesses in 2024, ranking alongside Switzerland and South Korea. While the emirate has fostered an attractive environment for cryptocurrency and blockchain enterprises through progressive regulations and favorable tax policies, its approach remains stringent rather than lenient.
On Oct. 1, 2024, VARA introduced strict marketing regulations governing virtual assets. These rules apply to both Dubai-based entities and foreign firms targeting Dubai residents, ensuring transparency and preventing misleading promotional content.
To enforce compliance, VARA took decisive action in October, issuing cease-and-desist orders and imposing fines on seven entities operating without the necessary licenses and violating marketing guidelines.
Source: cryptonews.com
