Capital.com Seeks to Launch Spot Crypto Trading in UAE

Capital.com is preparing to launch spot cryptocurrency trading in the United Arab Emirates.

Cointelegraph reported on August 21 that Capital Vault, an affiliate of Capital.com, obtained a virtual-asset license from the UAE Capital Market Authority. The license allows Capital Vault to handle virtual assets as an agent or matched principal and to custody client assets.

Once the service launches, UAE clients will be able to buy and hold actual cryptocurrencies through the Capital.com app. Capital Vault will oversee order execution, custody and settlement. That differs from the platform’s existing contracts-for-difference, or CFD, model, which gives users exposure to price moves without direct ownership of the underlying asset.

Capital Vault operates as an independent regulated entity with governance, custody and risk-management systems separated from Capital.com’s other business units. It has opened an office in Abu Dhabi and is assembling a local team focused on crypto.

The license was granted after the UAE Capital Market Authority introduced a virtual-asset regulatory framework in April. At that time, the regulator expanded the number of regulated activities to eight from three and introduced new requirements covering conduct standards, alternative trading systems, anti-money-laundering controls and prudential rules.