Okto, the self-custodial crypto wallet owned by Indian crypto exchange CoinDCX, has achieved a significant milestone by securing an operational license from the Ras Al Khaimah Digital Assets Oasis (RAK DAO) in the United Arab Emirates (UAE). This development, announced on August 27, positions Okto as the first Web3 wallet to obtain such a license in the UAE’s dedicated free zone for digital assets.

The acquisition of the RAK DAO license is a major step forward for the Okto crypto wallet as it tries to expand its presence in the global Web3 ecosystem. This license allows Okto to operate legally within the UAE and sets a precedent for other Web3 projects looking to establish themselves in the region.

A New Chapter for the Okto Crypto Wallet

The Okto crypto wallet is a multichain decentralized finance (DeFi) platform that offers a keyless, self-custody solution for managing digital assets. Fully owned by a subsidiary of DCX Global, a Mauritius-based holding company, Okto has been at the forefront of providing secure and user-friendly DeFi solutions. The wallet’s unique offering of a keyless self-custody model has resonated with users who prioritize both security and ease of use in managing their digital assets.

With the RAK DAO license, Okto is poised to enhance its operational capabilities in the UAE, a region that is rapidly becoming a hub for digital assets and blockchain innovation. Neeraj Khandelwal, co-founder of CoinDCX and Okto, emphasized the importance of this milestone, stating that the license will “further enhance the trust and confidence” of the Okto crypto wallet’s growing community. He added that this development is expected to accelerate the adoption of Web3 technologies among mainstream audiences.

UAE’s Commitment to Web3: The Role of RAK DAO

The UAE has demonstrated a strong commitment to fostering innovation in the digital assets space, particularly through initiatives like the RAK DAO. Established in 2023, the RAK DAO is an economic free zone dedicated to virtual assets, blockchain, Web3, and artificial intelligence. The free zone is designed to cater to service providers building emerging technologies, including metaverse projects, wallets, non-fungible tokens (NFTs), and other Web3 businesses.

Dr. Sameer Al Ansari, CEO of RAK DAO, highlighted the significance of Okto’s licensing, stating that it reflects the free zone’s dedication to “creating a supportive and transparent environment for innovative Web3 companies.” The UAE’s proactive approach to regulation and support for digital assets has made it an attractive destination for projects like the Okto crypto wallet, which are looking to expand their global footprint.

CoinDCX’s Strategic Expansion in the UAE

The licensing of the Okto crypto wallet is part of CoinDCX’s broader strategy to expand its operations in the UAE. This move follows the company’s acquisition of UAE-based crypto exchange BitOasis on July 3, 2024. Despite the acquisition, BitOasis will continue to operate independently under its existing licenses, as confirmed by CoinDCX co-founder Sumit Gupta.

BitOasis has been a significant player in the UAE’s crypto landscape, having secured a Category 2 license from Bahrain’s central bank, allowing it to operate as a broker-dealer under strict regulatory conditions. Additionally, BitOasis was the first platform to obtain an operating license in Dubai, further cementing its position in the region.

However, the road has not been entirely smooth for BitOasis. In April 2023, the platform secured an operational license from Dubai’s Virtual Assets Regulatory Authority (VARA). But by July 11, 2023, VARA suspended BitOasis’s license for not meeting key conditions in time. This suspension was lifted on April 12, 2024, after the platform addressed the regulatory concerns. The VARA registry confirms that BitOasis’s license is now active and operational.

The Future of the Okto Crypto Wallet and Web3 in the UAE

The securing of the RAK DAO license for the Okto crypto wallet represents a significant advancement in the broader adoption of Web3 technologies in the UAE. As the first Web3 wallet to receive such a license, Okto is paving the way for other projects in the space, highlighting the UAE’s potential as a global hub for blockchain and digital assets.

“The UAE’s regulatory environment is becoming increasingly favorable for digital assets,” noted a blockchain industry analyst. “With the Okto crypto wallet securing its license, we’re likely to see more projects seeking to establish themselves in the region, leveraging the supportive infrastructure and growing market opportunities.”

As the Okto crypto wallet continues to expand its operations in the UAE, it will be interesting to watch how the broader Web3 ecosystem evolves in response. With the backing of CoinDCX and the strategic support of the RAK DAO, Okto is well-positioned to lead the charge in bringing Web3 technologies to mainstream users in the UAE and beyond.

The Okto crypto wallet’s recent licensing is not just a win for the platform but also a testament to the UAE’s commitment to being at the forefront of digital asset innovation. As the Web3 space continues to grow, Okto’s success in securing this license could serve as a blueprint for other projects looking to make their mark in the region.

Get more from The Bit Gazette