Nomura-Backed Komainu Secures Crypto Custody License in Dubai

Police & Regulations
Aug 22, 2023 at 02:30 pm

Nomura-backed crypto custody firm, Komainu, has secured a significant milestone by obtaining an operational license from Dubai's Virtual Asset Regulatory Authority (VARA). This regulatory approval empowers Komainu to extend its comprehensive digital asset custody services, such as institutional staking and collateral management, to clients within the emirate.

Through its Komainu Connect platform, the company offers a suite of custody solutions that facilitate institutional staking and collateral management. Clients can leverage their digital assets in collateralization scenarios while maintaining secure segregated custody, with on-chain verification mechanisms ensuring transparency.

Dubai has been actively striving to attract cryptocurrency-related ventures. In 2022, the UAE introduced VARA as the world's inaugural independent crypto regulator. This regulatory framework has facilitated the entry of various crypto enterprises into the region, including the recent operating license granted to Nomura's digital asset subsidiary, Laser Digital. Notably, even Binance, the world's largest crypto exchange, received a license to operate in Dubai earlier this year.

Sebastian Widmann, Komainu's Head of Strategy, expressed optimism about the prospects in the region, stating that the company envisions substantial growth opportunities amid the current surge in asset adoption, attributed to the establishment of new funds and the launch of exchanges.

Komainu, established in 2020, has been rendering custody services to a diverse clientele encompassing exchanges, financial institutions, asset managers, corporations, and government entities.

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