Nomura-backed Laser Digital wins Dubai regulatory approval for cryptocurrency derivatives

Laser Digital has been awarded the first regulated limited license for over-the-counter crypto options under the VARA pilot framework.

Laser Digital said it is the first regulated entity under VARA to offer direct-to-client crypto OTC options services.

Laser Digital is working on major crypto tokens, initially offering medium-term options exercised under ISDA protocols.

Laser Digital, the cryptocurrency trading and services subsidiary of Japan’s Nomura Bank, has received a limited license from Dubai under the Virtual Asset Regulatory Authority (VARA) pilot framework to offer regulated over-the-counter (OTC) crypto derivatives.

Laser Digital said that under this regime, it is the first regulated entity under VARA to offer direct-to-client crypto OTC options services.

“Crypto has become very Dubai-centric, and there’s been a lot of enthusiasm for moving to Dubai and the VARA regulatory environment,” Johannes Woolard, chief product officer at Laser Digital, said in an interview. “That’s because Dubai does a really good job of explaining what you’re doing. They explain it in detail, but once you can justify it, they’re willing to give you pretty wide leeway.”

With the booming development of cryptocurrency derivatives around the world, places like Dubai with a cryptocurrency-friendly regulatory framework have become the preferred destination for many companies. This has already made it clear that the future direction of financial investment will be cryptocurrency-led.