Dubai has taken a significant step to reinforce its status as a global hub for cryptocurrency innovation. On August 7, 2025, Dubai's Virtual Assets Regulatory Authority (VARA) issued the first-ever license for cryptocurrency options trading to Laser Digital, a subsidiary of Japan's Nomura Holdings. This event marked a pivotal moment in the emirate's effort to lead the regulated cryptocurrency market, particularly for institutional investors.
Laser Digital became the first company in Dubai to receive permission to offer over-the-counter (OTC) cryptocurrency options. The license, granted as part of VARA's pilot project, enables the company to offer crypto derivatives directly to institutional clients. This decision highlights Dubai's strategy to establish a transparent and reliable regulatory framework for virtual assets, anchored in the Virtual Assets Law of 2022.
Obtaining the license makes Laser Digital a pioneer in Dubai's crypto ecosystem, allowing it to address the growing demand for sophisticated financial instruments among institutional investors. The company’s operations will adhere to the stringent standards of the International Swaps and Derivatives Association (ISDA). This ensures that cryptocurrency option contracts meet the same legal standards applied in traditional finance, providing clear definitions of rights and obligations of parties.
Laser Digital has opted for a phased approach to launching its services. Initially, the company will focus on offering 'simple' options linked to Bitcoin—the world's leading cryptocurrency. Johannes Woollard, Laser Digital’s Chief Product Officer, noted: “We are starting with basic options but plan for gradual expansion.” This strategy aims to build trust among institutional investors and ensure full compliance with Dubai’s regulatory requirements. In the future, the company plans to offer more complex structured products, diversifying its portfolio.
Focusing on Bitcoin-linked options allows Laser Digital to leverage the high liquidity and recognition of this cryptocurrency among institutional investors. This approach minimizes risks and aligns with Dubai’s favorable tax policy, where there is no capital gains tax on cryptocurrency transactions, making the emirate attractive to investors.
The issuance of this license underscores Dubai's ambition to become a global leader in blockchain and cryptocurrency. Established in 2022, VARA plays a key role in shaping a progressive regulatory framework that balances innovation with investor protection. Regulator oversight ensures that companies like Laser Digital comply with strict anti-money laundering (AML) and know your customer (KYC) rules, helping address concerns regarding potential misuse of digital assets.
This event also signals Dubai’s intent to attract institutional capital. Permitting the trading of regulated crypto derivatives positions the emirate as a competitive alternative to traditional financial centers. Compliance with ISDA standards boosts trust in Dubai, confirming that crypto options trading meets international financial norms.
The issuance of the license comes amid Dubai’s active development of a crypto-friendly policy. The emirate's free economic zones, such as the Dubai International Financial Centre (DIFC), continue to attract companies working with digital assets, owing to streamlined regulatory processes and the absence of tax barriers. VARA's decision to grant a license to Laser Digital bolsters Dubai's reputation as a progressive hub for cryptocurrency innovation.
In the future, the success of Laser Digital in providing crypto options is expected to encourage other companies to apply for similar licenses. This, in turn, will strengthen Dubai’s position as a key player in the global virtual assets market, promoting investment inflows and the development of new financial products.
The issuance of the first cryptocurrency options trading license in Dubai marks an important milestone in the emirate's cryptocurrency market development. Supported by VARA and international standards, Laser Digital opens new opportunities for institutional investors. This step not only consolidates Dubai’s position as a global crypto hub but also demonstrates potential for further growth of the regulated digital assets market.