UAE: RAKBank, one of the leading government-backed banks in the UAE, became the first one to launch crypto trading services in the country. Among the traditional banks in the Emirates, it became the first to offer its customers crypto brokerage services digitally through its mobile app.
RAKBank customers can now buy, sell, and exchange cryptocurrencies, including BTC, ETH, SOL, and XRP, using the UAE’s currencies directly from their bank accounts on the mobile application. This service ends the need to transfer funds to foreign or external digital asset platforms or deal with international currency conversions.
Those who want to buy crypto in UAE can now easily invest in digital assets without paying extra costs for fund transfer and currency exchange. The RAKBank crypto trading initiative is supported by Bitpanda Broker MENA DMCC, an Austrian company working under Dubai’s VARA.
Partnership with Bitpanda for Secure Digital Asset Trading
RAKBank joined hands with Bitpanda, which has partnered with several other European banks, including Deutsche Bank and Raiffeisen Bank. Austrian-based Bitpanda enhances the bank’s crypto trading services compliance with the UAE’s regulations. These services allow users to transact directly in AED without the need for any third-party digital asset platform.
Moreover, bank customers can start crypto trading in the UAE using their savings or current account. This makes using crypto trading services for retail investors less difficult, as they no longer need to deal with complex procedures. RAKBank’s Group CEO, Raheel Ahmed, highlighted that this initiative is launched to meet the consumers’ growing needs. It aims to simplify the crypto trading experience for customers, as they can easily access digital asset transactions in dirhams.
Crypto Trading Launches with Invitation-Only Access
RAKBank’s crypto trading services have been initially launched on an invitation-only basis, and soon its expanded plans will be offered. This limited-access strategy will help the bank to understand how it needs to upgrade its services by reviewing users’ feedback in the initial phase. By eliminating the need to pay extra costs for foreign currency exchange and simplifying transactions, the bank is making crypto transactions more accessible to investors in the country.
The UAE investors were previously using international digital asset platforms that charged higher service costs and also had legal risks. This move supports the Emirates’ vision to secure a position as a global leader in blockchain. With this launch, RAKBank gains an advantage against local banks, like Emirates NBD and First Abu Dhabi Bank, by becoming the first UAE bank to offer crypto trading services in the country.
Historic Milestone in UAE’s Banking and Crypto Landscape
RAKBank’s partnership with Bitpanda became a great achievement, as it became the first public bank to offer these services in the country. The bank is focused on providing services that are not only compliant with regulatory standards but also minimize risks, like digital asset instability and security issues.
In many ways, this initiative marks a best startup story in the UAE’s evolving digital banking sector. RAKBank aims to earn the trust of retail investors in the UAE through its reliable platform and partnership with Bitpanda. However, the overall success of the bank’s crypto trading services will depend on factors like affordable pricing, user acceptance, and regulatory development. Many analysts are saying in advance that three major banks in the UAE might follow RAKBank within the upcoming 18 months. If this happens, this can increase competitive pressure, as local banks are already facing pressures from fintech firms and open finance platforms.
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