Laser Digital, a subsidiary of Japan’s Nomura, has become the first company in Dubai to receive regulatory approval to offer over-the-counter crypto options.
The license was issued by the Virtual Asset Regulatory Authority (VARA) on Wednesday under its pilot regime. This makes Laser Digital the only company in the city allowed to offer regulated OTC crypto derivatives directly to institutional clients.
The company confirmed that its operations in Dubai will follow International Swaps and Derivatives Association (ISDA) standards.
That means every crypto option contract will follow the same legal frameworks used in traditional finance. Laser said this setup ensures clear rights and obligations in each deal.
Laser Digital to focus on Bitcoin options first
Laser Digital said it will begin with what it called “back-to-basics” products, starting with Bitcoin options. It won’t launch any complicated structured products yet.
According to Chief Product Officer Johannes Woolard, the plan is to use simple instruments to gain trust from counterparties and meet regulatory expectations. “We’re starting with vanilla options and building from there,” he said.
Laser Digital’s first batch of products will be medium-term vanilla options, plain contracts with fixed terms tied to crypto prices, according to its press release. The products will allegedly give institutional traders exposure to the crypto market without the added layers of risk from more exotic derivatives.
The company also said all trades will be handled through ISDA agreements. These documents are already standard in the traditional finance world and are used to set clear terms in over-the-counter derivatives.
Over time, Laser Digital said it plans to roll out more services in Dubai, which may reportedly include lending, spot trading, and yield-generating products. Every new offering will depend on VARA’s review and approval, according to the company.
Laser Digital has not given a timeline for launching additional services but said future products will expand based on market demand and regulatory greenlights.
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