CFI Financial Group said its Dubai-based virtual assets entity, CFIX, has obtained in-principle approval from Dubai’s Virtual Assets Regulatory Authority, or VARA, for broker-dealer services. The decision moves CFIX further along the licensing path but does not authorize it to begin operating in virtual assets yet.
The company described the approval as part of a broader effort to expand beyond its traditional trading and investing business into virtual assets. A full Virtual Asset Service Provider license remains subject to additional regulatory conditions and final approval from VARA.
A preliminary step toward a full license
According to CFI, VARA’s in-principle approval is a formal stage in Dubai’s licensing process for virtual asset firms. It comes before the grant of a full Virtual Asset Service Provider, or VASP, license, which CFIX still needs before it can launch services.
The group said CFIX cannot commence virtual asset activities unless and until that full license is issued. For now, the approval signals that the application has advanced, but it does not amount to final authorization.
What CFIX still has to complete
Over the coming months, CFIX is expected to work through the remaining requirements set by VARA. CFI said those conditions include completing leadership appointments, putting operational infrastructure in place, finalizing governance arrangements and meeting regulatory control standards.
The company said CFIX has been established as a separate legal entity and is being built with its own governance structure and dedicated operational setup. CFI framed that approach as part of an effort to create a sustainable virtual assets business rather than simply extending its existing operations into the sector.
How the move fits CFI’s wider expansion
CFI presented the CFIX application as one element of a wider growth strategy that has recently included regulatory authorization in Brazil, a launch in Colombia and an earlier entry into Bahrain. The group said its model has been to build a regulated presence in each market, develop local capabilities and invest with a long-term horizon.
In the same statement, CFI linked the Dubai virtual assets push to its broader institutional build-out. The company said it continues to strengthen its foundations, including the appointment of independent board members and an independent chairman.
Experience from traditional markets, with next steps still pending
CFI said CFIX will draw on the group’s background across 15 regulated entities and more than 25 years in financial markets. Chief executive Ziad Melhem said the company sees virtual assets as a natural extension of the financial ecosystem it is building and characterized Dubai’s regulatory environment as a strong base for the sector’s next phase.
For now, the next confirmed step is regulatory rather than commercial. CFIX must satisfy VARA’s outstanding conditions and secure the full VASP license before any virtual asset services can begin. Until that process is completed, the in-principle approval remains an interim milestone rather than the start of operations.
Source: news.bitcoin.com