This development stands out as a remarkable step in a period when legal regulations regarding digital assets are rapidly increasing. In the announcement made on August 27, it was stated that Okto could operate legally in the United Arab Emirates (UAE) by obtaining an operation license from RAK DAO.

Okto claims to be the first Web3 wallet to receive this license in the free zone dedicated to digital assets in the UAE.

Okto operates as a multi-chain decentralized finance (DeFi) wallet that is wholly owned by a subsidiary of DCX Global, a Mauritius-based group holding company founded in July 2023.

This platform offers its users a keyless, self-storage feature to manage their digital assets. Decentralization and security, which are one of the main features of Web3 technology, are among the main advantages offered by this wallet.

Neeraj Khandelwal, co-founder of CoinDCX and Okto, stated that this license will further increase the trust and confidence of their community. Khandelwal feels that this license will not only strengthen their existing user base but also accelerate the adoption of Web3 among mainstream audiences. The adoption of Web3 technologies by more and more users will play a major role in the future success of such projects.

The UAE is taking very progressive steps regarding regulation of digital assets and blockchain technologies. Ras Al Khaimah Digital Asset Plain (RAK DAO), established in 2023, stands out as an important initiative in this context.

This economic free zone is designed for service providers operating in high-tech fields such as virtual assets, blockchain, Web3 and artificial intelligence. The region offers services to companies building metaverse, wallets, non-fungible tokens (NFT) and other Web3 businesses.

RAK DAO CEO Dr. Sameer Al Ansari stated that the new license received by Okto reflects the free trade zone’s commitment to creating a supportive and transparent environment for innovative Web3 companies.

Such licenses are important as part of global efforts to regulate digital assets. The UAE’s progressive approach in this field makes the country an attractive hub for crypto and blockchain technologies.

This license obtained by Okto can be seen as part of CoinDCX’s strategy to expand its business network in the UAE. CoinDCX strengthened its presence in the region by acquiring UAE-based crypto exchange BitOasis on July 3.

However, CoinDCX co-founder Sumit Gupta stated that BitOasis will continue to operate independently under its existing licenses. This suggests that CoinDCX aims to adapt to local dynamics as part of its expansion strategy.

BitOasis previously received a Category 2 license from the Central Bank of Bahrain. This license allows the platform to act as a broker-dealer in Bahrain under strict regulatory conditions. Additionally, BitOasis is one of the first exchanges to receive an operating license in Dubai.

However, on July 11, 2023, Dubai’s Virtual Assets Regulatory Authority (VARA) suspended the platform’s license due to BitOasis’ failure to meet certain key conditions in a timely manner.

On April 12, 2024, VARA lifted the suspension of the crypto exchange’s operating license, allowing the platform to continue its operations. These developments reflect the UAE’s firm stance towards regulations on crypto assets.

This new license obtained by Okto will contribute to the growth of the digital asset ecosystem in the UAE, while also helping to consolidate the region’s leadership in Web3 technologies.