Bitpanda and Raiffeisen Bank Unites to Revolutionize Crypto in Dubai

Bitpanda, the European crypto exchange, announced its partnership with Raiffeisen Bank, the Vienna-based unit of the Austrian lender. The deal is designed to offer crypto services to customers at 55 Raiffeisen bank branches across Austria.

Earlier this week, the exchange revealed the opening of a new office in Dubai. It is worth noting that this is a major milestone for the company as it marks its first expansion outside Europe.

Just like how Bitpanda chose UAE as its destination for expansion, TheCoinRise reported in 2022 that OKX exchange, a crypto asset trading company was licensed to provide services to qualified investors in the country. Although, Europe’s clear regulatory framework has paved the way for many exchange companies to thrive in the crypto industry.

It is also taking a big step forward to implement the Market in Crypto Assets (MiCA) regime. Regardless, Bitpanda has decided to explore new horizons by testing the waters in Dubai.

Bitpand and Raiffeisen Bank enjoying Regulatory clarity in Dubai

UAE is ahead of the game with its Virtual Assets Regulatory Authority (VARA) friendly stance. VARA has taken the lead among other jurisdictions when it comes to regulating virtual assets.

The Gulf Tiger has caught the attention of several crypto exchange companies and investors as it leads the way in creating a favorable environment for crypto. In 2022, TheCoinRise reported that 21Shares, a crypto investment product firm from Switzerland, introduced a physical Bitcoin exchange-trading product (ETF) in the country, riding on the regulatory boost.

Blockchain.com, a London-based cryptocurrency company was also granted a provisional license to conduct business in Dubai. The Bitpanda partnership with Raiffeisen, which started a few months ago in Vienna has yielded positive results on the market as a 10% adoption rate has been recorded.

Interestingly, new investors are mostly buying popular cryptocurrencies like bitcoin and Ethereum.

Can the US emulate a clear regulatory framework?

It has been shown that the U.S. lacks regulatory clarity found in Dubai and Abu Dhabi. This makes it difficult for banks and other entities to get involved.

Recently, KuCoin market share experienced an outflow of funds amounting to a whopping $1.2 billion due to the legal issues it’s facing with the U.S. Department of Justice.

Dubai has also had its fair share of frauds and crypto-related mishaps just like any other country. This trend is visible in the US where the US Securities and Exchange Commission (SEC) has been cracking down on investors and crypto enthusiasts in the country while trying to establish a secure and transparent crypto environment.