XBTO Secures Full 3A Licence from ADGM, Accelerating Expansion in the UAE

The 3A licence grants XBTO the authority to operate a comprehensive suite of financial services in and from ADGM, including custody of digital assets, dealing in investments as principal and matched principal, advising on investments, and arranging deals in investments. These permissions firmly position XBTO as a key institutional counterparty in the region, capable of serving sovereign wealth funds, family offices, regional banks, and other sophisticated investors.

"This approval gives XBTO the strategic footing to engage more actively with regional partners and demonstrates our alignment with the UAE’s vision of becoming a global hub for digital finance," said Karl Naim, Chief Commercial Officer and General Manager for UAE at XBTO. "ADGM has created a forward-thinking environment that balances innovation with robust oversight – a model we are proud to be part of."

XBTO has long been known for its disciplined, risk-adjusted investment strategies and rigorous adherence to compliance, a reputation that aligns with the high regulatory standards set by ADGM. The new licence not only enables XBTO to deliver its services in a regulated capacity but also underscores the firm’s commitment to transparency and trust—core values in an industry still grappling with the legacy of volatile and unregulated markets.

“The UAE is a leading market in digital assets, and the 3A licence enables us to be a part of a positive digital movement in the region,” noted Philippe Bekhazi, CEO and Founder of XBTO Group. “This licence also serves to reinforce our long-term commitment to institutional integrity, regulatory transparency, and financial innovation in the UAE.”

The approval comes at a time when the Gulf region is intensifying its focus on digital finance and blockchain adoption. Abu Dhabi, in particular, has positioned itself at the forefront of regulated digital asset innovation through ADGM’s progressive framework. The regulatory regime established by the FSRA is widely recognized as one of the most comprehensive for virtual asset activities, placing emphasis on consumer protection, capital adequacy, risk management, and AML/CTF compliance.

By granting XBTO a full 3A licence, ADGM further cements its role as a leading jurisdiction for licensed digital asset firms seeking a secure, transparent, and globally respected base of operations.

XBTO’s presence in Abu Dhabi is further supported through its engagement with Hub71, the emirate’s global tech ecosystem. The firm is a key participant in Hub71’s digital assets cohort and has worked closely with the platform on initiatives aimed at boosting education, thought leadership, and ecosystem development.

“We’re proud to see XBTO, a global leader in digital assets, secure their 3A license and scale from Hub71 to serve the world,” said Peter Abou Hachem, Head of Growth and Strategy at Hub71. “Their move to Abu Dhabi reflects a clear shift toward the Middle East – one of the fastest-growing and most liquid markets globally. XBTO’s focus on regulatory excellence and innovation embodies the caliber of founders we back.”

Hub71’s support reflects the broader UAE strategy to attract global fintech and blockchain innovators through high-impact partnerships, startup incentives, and seamless access to capital markets. This collaborative ecosystem not only facilitates regulatory clarity for companies like XBTO, but also accelerates the region’s digital transformation agenda.

Founded in 2015 as a proprietary trading firm, XBTO has evolved into a full-service crypto quantitative investment manager. Since 2023, the firm has focused on delivering institutional-grade strategies across the alpha–beta continuum, with particular strength in Bitcoin-related instruments. It combines proprietary infrastructure, compliance rigor, and quantitative acumen to deliver sustainable returns across diverse market conditions.

XBTO’s business is structured to meet the expectations of institutional investors operating under regulated frameworks. Its global operating entities are regulated by the Bermuda Monetary Authority and now, with this new milestone, by ADGM in the UAE.

The firm’s UAE expansion signals a deepening commitment to the region, not just as a market, but as a long-term partner in shaping the future of digital finance. Plans are underway for a media event in Abu Dhabi to mark the occasion and foster stronger engagement with regional stakeholders.

XBTO’s full 3A licence from ADGM represents more than a regulatory formality; it reflects the maturation of the digital asset industry and the critical role the Middle East is playing in its evolution. With the UAE’s proactive regulatory environment, increasing institutional demand, and rapidly expanding digital infrastructure, firms like XBTO are poised to redefine the global standards of crypto finance.

As governments and investors alike seek trusted partners in the digital space, XBTO’s entry into the UAE’s regulatory fold reinforces a broader message: the future of finance is regulated, institutional, and global—and the UAE is at its center.