Animoca Brands secured a Virtual Asset Service Provider license from Dubai’s regulator on Feb. 5. The approval lets the Hong Kong company expand broker-dealer and investment management services across the Middle East.
Target market: institutional and qualified investors.
The license came from Dubai’s Virtual Assets Regulatory Authority—known as VARA. Animoca can now operate in and from Dubai, excluding the Dubai International Financial Centre. Services focus on virtual asset trading and management within what Dubai considers a regulated framework.
Omar Elassar runs Middle East operations and global strategic partnerships for Animoca. He explained the strategic angle: “This licence enhances our ability to engage with Web3 foundations as well as global institutional and qualified investors within a well-regulated framework.”
Animoca’s portfolio spans more than 600 companies and digital-asset projects. That’s substantial reach for institutional clients looking for exposure to early-stage blockchain ventures. The company develops platforms and backs Web3 ecosystems including The Sandbox, Open Campus, and Moca Network.
VARA’s public register confirms the Feb. 5 issuance. The license restricts services to institutional and qualified investors—no retail access through this approval. VARA launched in March 2022 specifically to regulate digital assets across Dubai’s mainland and free zones.
Why Dubai matters now: The emirate is building regulatory infrastructure while other jurisdictions tighten restrictions. Crypto companies see clear rules. Institutional investors see legitimacy. Both sides get what they need.
Animoca just acquired Somo in January—a gaming and digital collectibles company. That deal added playable and tradable collectibles to Animoca’s blockchain portfolio. The Dubai license creates a regulated channel to offer those assets to Middle East institutions.
Dubai’s crypto expansion is accelerating. BitGo secured a similar broker-dealer license from VARA in October 2025. The digital asset infrastructure company can now provide regulated trading and intermediation services to institutional clients across the Middle East and North Africa region through its Dubai operation.
VARA isn’t just handing out licenses. The regulator recently issued financial penalties against 19 companies for unlicensed Virtual Asset activities and violations of VARA’s marketing regulations. The enforcement action signals Dubai wants regulated operations—not grey-market activity.
That creates opportunity for companies willing to comply. Animoca went through the approval process. BitGo did the same. Both now operate under VARA oversight with access to institutional capital in a region hungry for crypto exposure through legitimate channels.
The geographic exclusion matters: Dubai International Financial Centre operates under separate rules. Animoca’s license covers Dubai’s mainland and free zones but not DIFC. Different regulatory frameworks create jurisdictional complexity even within a single city.
Animoca’s 600-company portfolio positions it as a gateway for institutional investors who want diversified Web3 exposure without picking individual projects. The Dubai license lets the company package that access for Middle East institutions that previously lacked regulated entry points.
Question is whether institutional demand materializes. Dubai built the regulatory framework. Companies like Animoca and BitGo secured licenses. Now comes the hard part: convincing institutions to deploy capital.
Early signs suggest interest exists. Dubai wouldn’t attract this many applications if institutional appetite was zero. VARA wouldn’t need enforcement actions against 19 companies if market activity was dead. The infrastructure is filling up because money is flowing in.
Animoca’s timing aligns with broader regional crypto adoption. The United Arab Emirates and Dubai recently moved to align their crypto frameworks under a new partnership. Regulatory harmonization reduces friction for companies operating across emirates.
For Animoca, the license represents operational expansion more than strategic shift. The company already invests in Web3 projects globally. Dubai approval adds a regulated Middle East distribution channel for those investments. That matters when targeting institutions bound by compliance requirements.
The broker-dealer and investment management services give Animoca two revenue streams. Broker-dealer lets them facilitate trades. Investment management lets them run funds or discretionary portfolios. Both require regulatory approval in most jurisdictions.
VARA’s framework mirrors traditional financial licensing but applies it to virtual assets. Companies get clarity on what’s permitted. Regulators get oversight of market activity. The model attracts institutions comfortable with familiar regulatory structures applied to new asset classes.
Dubai’s approach contrasts with jurisdictions that ban crypto or leave it unregulated. Clear rules with institutional focus—that’s the Dubai strategy. Animoca’s license proves the model works for companies with institutional client bases.
What’s next: Watch how much capital flows through these newly licensed channels. BitGo got approval in October. Animoca in February. Six months from now, transaction volumes will show whether Dubai’s regulated approach attracts real institutional money or just licenses.
For now, Animoca has the access it wanted. More than 600 portfolio companies just got a regulated gateway to Middle East institutional capital.
