Dubai's crypto authority VARA has given HashKey an in-principle approval as the company continues to stretch its services internationally.
Crypto asset service firm HashKey Group has received an in-principle approval from the crypto regulator in Dubai. According to an official press release published on Monday, January 13, the Dubai Virtual Assets Regulatory Authority (VARA) licensed HashKey Group’s Dubai subsidiary, HashKey MENA FZE, reinforcing the company’s position as a trusted player in the crypto sector.
The license also allows HashKey to continue its expansion and contribute to delivering global services one jurisdiction at a time. Final approval will allow HashKey MENA FZE to offer varying exchange and broker-dealer services to investors in Dubai. It will also contribute to the expansion of HashKey OTC, the company’s over-the-counter firm, which is also seeking a strong position in the Middle East.
HashKey’s global expansion mission has seen the company push into several countries. According to the press release, HashKey holds licenses in Japan, Bermuda, Singapore, and Hong Kong. Last week, the company announced it received Virtual Asset Service Provider (VASP) registration approval from Ireland’s apex bank.
The announcement states that the Central Bank of Ireland granted HashKey Europe Limited (HEL) the group’s first VASP license in alignment with the EU’s Fifth Anti-Money Laundering Directive (AMLD5).
HashKey would also have to align with the EU’s MiCA. On December 30, the EU’s Markets in Crypto Assets (MiCA) framework came into full effect. MiCA is a unified set of rules and regulations that guide the region’s crypto sector and cater to various issues. These include market crashes, occurrences of fraud, and the absence of investor protection.
Following the approval, HashKey can offer users a range of regulated services, including exchanging crypto for fiat and vice versa, exchanging multiple crypto assets, custodian wallet services, and the transfer of crypto assets.
In addition to offering its services in multiple jurisdictions, HashKey is making further strides in the general cryptocurrency sector. For instance, the group launched its native HashKey Platform Token (HSK) in November. Details include a royal supply of 1 billion tokens, with 65% (650 million tokens) marked for ecosystem growth. The firm reserved 30% (300 million) for the HSK team and set the rest as network reserves. The HSK ERC-20 token is used for multiple functions across the HashKey ecosystem, including rewards and fee payments.
HashKey Group has also set aside around 20% of its quarterly profit to fund token buybacks. On December 16, HSK hit a record high of $1.5989 and surpassed it a day after, reaching $1.72. According to CoinGecko data, HSK’s all-time high (ATH) is $2.56. The current price of $1.69 is a 34% plunge from the ATH.
In December, HashKey Group formed a strategic partnership with Cinda International Asset Management Limited (CIAM) to launch Short-Term Asset-Backed Liquidity Notes (STBL) on the Ethereum (ETH) network. In collaboration with Hong Kong-based Web3 firm NVT, the STBL will be issued and distributed with mainstream adoption as the goal.
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Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge. When he's not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.
