Abu Dhabi’s Financial Services Regulatory Authority has given the green light to the crypto exchange Rain, granting them permission to operate a virtual asset brokerage. Additionally, the company has been approved to offer custody services to its clients. The Financial Services Permission [FSP] was officially granted on Tuesday, July 25. As a result, Rain is now able to provide both institutional and retail customers with the opportunity to purchase, sell, and securely store virtual assets. Moreover, clients will benefit from a convenient fiat-to-virtual asset on-ramp service in UAE dirhams.
The FSP has also enabled Rain to introduce additional trading pairs for crypto assets. The company has successfully met the criteria outlined by ADGM’s FSRA for Accepted Virtual Assets, as mentioned in the official statement. In response to this significant development, Rain’s CEO, Joseph Dallago, reportedly expressed his excitement, stating that the license provides their customers with enhanced security and trust. He emphasized Rain’s commitment to driving innovation and expansion in the virtual assets domain. Furthermore, Rain is now the sole provider of a regulated pathway for converting UAE dirhams (AED) into virtual assets and vice versa.
In an interview with Reuters, Rain’s Co-Founder, Yehia Badawy, clarified that the firm can now establish a bank account within the UAE. Additionally, clients will have the convenience of funding their accounts through the local payment network.
AGDM Chief’s Mission: Enhancing Abu Dhabi’s Crypto Asset Ecosystem
Arvind Ramamurthy, Chief of Market Development at ADGM, emphasized the financial center’s continuous efforts to enhance Abu Dhabi’s crypto and digital asset ecosystem while simultaneously promoting economic diversification. He stated that ADGM’s core mission revolves around unlocking new opportunities for growth and investment in the virtual assets sector. This has been achieved through the establishment of a robust and forward-looking regulatory framework for digital assets.
In January 2022, Rain was initially granted in-principle approval for its FSP. Interestingly, just a few days prior to that, Rain Financial successfully raised $110 million in its Series B funding round. Notably, Rain is based in Bahrain and enjoys support from reputable entities like Coinbase and Silicon Valley VC firm Kleiner Perkins.