Custody Provider Liminal Wins Approval in Abu Dhabi as It Extends Expansion in Asia

As a researcher with a background in financial regulation, I find Liminal’s recent regulatory approvals in Abu Dhabi and other regions to be an exciting development in the digital asset custody space. Having closely followed the company’s expansion strategy over the past few years, it is clear that their focus on securing licenses in key markets across APAC and EMEA has paid off.

Singaporian firm Liminal, which specializes in custody services, secured regulatory permission in Abu Dhabi, marking another milestone in its geographic expansion, according to representatives who spoke with CoinDesk on Monday.

The subsidiary of the First Answer firm based in the Middle East obtained final approval from the Abu Dhabi Global Market’s Financial Services Regulatory Authority (FSRA) last Thursday. With this approval, they are now authorized to offer custody services in the region. They had received in-principal approval for this permission the previous year.

As an analyst, I’ve noticed some favorable regulatory developments for Liminal in the Asian Pacific (APAC) and Middle East and North Africa (MENA) regions over the past few weeks. Specifically, our Dubai-based entity, First Answer Custody FZE, recently obtained initial approval from the Virtual Asset Regulatory Authority (VARA). Additionally, our Indian subsidiary, First Answer India Technologies, is now registered as a reporting entity.

As a researcher focusing on the financial sector, I’ve been following Manan Vora, senior vice president of strategy and business operations at our company, who shared some insightful information during a recent interview. Two years ago, we embarked on a strategic mission to obtain regulatory licenses in significant markets within APAC (Asia Pacific) and EMEA (Europe, Middle East, and Africa). Our ultimate goal is to serve institutional clients more effectively by establishing a stronger presence in these regions.

As a researcher, I recently came across some intriguing news. Last week, an official from India’s Financial Intelligence Unit (FIU) disclosed to CoinDesk that Liminal, a digital asset custodian, had been registered as a reporting entity with them. This makes Liminal the first digital asset custodian to be registered with the FIU, according to company representatives. Furthermore, in November, the Central Bureau of Investigation (CBI), India’s premier investigating police agency, appointed Liminal to manage seized digital assets.

As a crypto investor, I’ve been keeping an eye on Liminal’s activities, and I’m pleased to share that they’ve been proactive even during these uncertain times at home. When Singapore announced new licensing requirements for custody solution providers in April, Liminal was already offering such services and thus qualified for the grandfathering provision under the new guidelines. This arrangement lasts for a period of six months. In line with regulations, Liminal has communicated to the Monetary Authority of Singapore (MAS) that they have initiated the application process for a formal license.