Komainu, a Nomura-backed Crypto Custodian, Granted Initial Provisional Regulatory Approval to Operate in Dubai
Komainu is set to bring Digital Asset Custody Services to Institutional Clients in the Region
SAINT HELIER, JERSEY, July 27, 2022 /PRNewswire/ — Komainu [“the Custodian”], a regulated digital asset custody provider built by institutions for institutions, today announced provisional regulatory approval from the Government of Dubai’s Virtual Assets Regulatory Authority [VARA] to commence operational readiness even as the application goes through the warranted due diligence in accordance with VARA requirements, to enable Komainu to be amongst the first fully regulated digital asset custody services to institutional clients in the region.
Komainu acts as key gatekeeper to institutions gaining exposure to the digital asset industry with the provision of secure and regulated digital asset custody services for blockchain and beyond. Over the years, Komainu has established itself as one of the leading digital asset custody providers for institutional clients, providing the same safeguards and protections investors are accustomed to in traditional finance. The Custodian’s industry-leading services have been designed by security, financial services and cryptocurrency experts and have been approved by external auditors.
Dubai and VARA are paving the way forward with their efforts to create a sophisticated and progressive regulatory framework, which will allow the region to become one of the world’s most favourable jurisdictions for digital asset initiatives. Komainu has elected to base its regional HQ in Dubai and participate in this fast-evolving global virtual asset valley – in order to establish its leadership in the provision of institutional-grade digital asset services across the wider region.
H.E. Helal Saeed Almarri, Chairman of VARA, said, “Komainu’s entry into VARA’s regime is symbolic of the confidence and credibility that the Virtual Assets industry is gaining when backed by such strong endorsement from traditional finance leaders like Nomura. Such acceptance and active participation of tier 1 global institutional finance firms is not only an affirmation of Virtual Assets being integral to the future of finance, but also indicative of the potential that this industry can offer for economic empowerment. Dubai is pleased to welcome credible players like Komainu into VARA’s virtual assets ecosystem.”
The regulatory license once received, will establish Komainu as one of Dubai’s first regulated crypto custody providers, bringing a much-needed service to the proliferating regional ecosystem. The endorsement from the Dubai Government strengthens the Custodian’s fast-paced growth projections, in line with their core underpinning of doing so in a secure, robust and regulated manner. With the continued support of the Dubai regulators, Komainu is set to be a first mover in the MENA region.
Sebastian Widmann, Head of Strategy at Komainu, said, “Dubai and VARA are establishing a new hub for digital asset businesses and bringing like-minded companies into the country to help establish its growing crypto ecosystem and we look forward to contributing to these exciting developments. Komainu actively works with regulators, partners and our clients to make sure that our platform is held to the highest of standards and this latest endorsement by the Dubai Government is a further testament to that fact. By expanding into the MENA region, we are bringing a much-needed service to institutions operating within a regulated crypto marketplace. We are excited to bring Komainu Yield as well as the other new services set to launch in the near future to this marketplace and thereby serve a new demographic of institutions.”
Komainu is the first hybrid custodian for institutional digital asset investors created by the Japanese investment bank Nomura, digital asset manager CoinShares and digital asset security company Ledger. Komainu is providing decentralized and secure digital asset custody services through a single application-based solution for institutions, offering multi-asset support and regulatory compliance. Headquartered in Jersey, Channel Islands, Komainu merges institutional financial services with leading security standards for the next generation of institutional custody.
Dubai Virtual Assets Regulatory Authority [VARA] is the world’s first specialised regulator for the Virtual Assets sector. Established in March 2022, following the effect of Law No.4 of 2022, VARA is responsible by decree for licensing and regulating the Virtual Asset sector in the Emirate of Dubai and its free zone territories [excluding DIFC], and oversees all licensing requirements and applications for authorisation of Virtual Asset activities under UAE law. VARA plays a central role in creating Dubai’s advanced legal framework to protect investors and establish international standards for Virtual Asset industry governance, while supporting the vision for a borderless economy.
M Group Strategic Communications [For Komainu]