CFI Financial Group's CFIX Wins VARA In-Principle Approval for Virtual Asset Brokerage

The approval takes CFI beyond its traditional trading and investment business and brings CFIX closer to a full Virtual Asset Service Provider (VASP) licence, provided it meets VARA's remaining requirements. It adds a regulated established broker to the growing list of firms seeking Dubai licences for crypto brokerage.

In-principle approval is an intermediate stage in VARA's licensing process and does not allow a firm to start offering virtual asset services. CFIX must still finalise leadership appointments, operational infrastructure, governance arrangements and compliance controls. The company said it will not begin providing virtual asset services unless and until VARA grants the full licence.

CFIX, formally CFIX Virtual Assets Broker & Dealer Services L.L.C.S.O.C, has been set up as a separate legal entity with its own governance framework, operational infrastructure and regulatory controls, according to the company. It will draw on CFI's more than 25 years in financial markets and its 15 regulated entities.

"The virtual asset industry has spent the past decade proving its technology. The next decade will be about proving its standards," said Ziad Melhem, chief executive of CFI Financial Group. He called the approval "an important milestone" and said the focus now was on completing the remaining licensing requirements.

The group said the move is part of a wider international expansion that has included regulatory authorisation in Brazil, a launch in Colombia and entry into Bahrain. It has also been strengthening its corporate governance, including appointing independent board members and an independent chairman.

CFIX has not said when it expects to secure the full VASP licence.