Dubai-based cryptocurrency exchange BitOasis has secured a round of funding from a group of investors, including Indian digital-asset platform CoinDCX.
According to a Friday report from Bloomberg, the specific terms of the deal and the valuation of the exchange have not been disclosed.
The report revealed that the recent funding round saw participation from existing investors Wamda Capital and Jump Capital.
BitOasis, which was launched in 2016, offers services in several countries in the Middle East, including the United Arab Emirates, Saudi Arabia, Bahrain, and Kuwait.
The Middle East and North Africa region has experienced significant growth in the cryptocurrency market, with Chainalysis research revealing that it was the fastest-growing market between mid-2021 and mid-2022.
This latest investment follows BitOasis’ successful fundraising efforts back in 2021, during which it raised $30 million.
The company has been making significant strides in the industry, having received one of Dubai’s “minimum viable product operational licenses” earlier this year, which allows BitOasis to offer broker-dealer services for digital assets to qualified investors.
However, the company faced a setback in July when it was reprimanded by Dubai authorities for not meeting the required conditions set by the local regulator.
At the time, the market alert informed investors and customers of BitOasis regarding ongoing supervisory controls and enforcement actions against the exchange.
“BitOasis is under review for not meeting mandated conditions, required to be satisfied within 30-60 day timeframes prior to being permitted to undertake any VARA regulated market activity.”
CoinDCX, on the other hand, recently achieved the status of India’s first cryptocurrency unicorn after raising approximately $90 million from investors led by B Capital Group, co-founded by Meta Platforms Inc.’s Eduardo Saverin.
The funding round valued CoinDCX at $1.1 billion.
Dubai Ramps Up Regulatory Oversight of Crypto Companies
Dubai has been one of the biggest crypto hubs in the world, attracting major players in the crypto space.
For one, Binance, the world’s largest crypto exchange, opened three offices in Dubai last year after securing the necessary licenses to operate.
However, the country has also been cracking down on crypto players that operate in the jurisdiction without the necessary licensing despite ambitions to establish itself as a global hub for the industry.
Back in April, Duabi authorities sent an unrelated reprimand to the OPNX crypto exchange, accusing the platform of operating as an unlicensed and unregulated entity.
Dubai’s Virtual Assets Regulatory Authority (VARA) issued a cease-and-desist order against the exchange at the time.
Meanwhile, the country’s crypto regulator has issued MVP licenses to companies including Bybit, Crypto.com, Binance, and OKX. These crypto firms are currently permitted to operate in the region.