Digital wallet company in the Web3 space Backpack has announced the launch of its cryptocurrency exchange, following the acquisition of a key license from the Dubai Virtual Assets Regulatory Authority (VARA).
According to the statement released by Backpack, which is an offshoot of crypto infrastructure company Coral, the new exchange will be regulated as it has been issued a Virtual Asset Service Provider (VASP) license by VARA.
The company also shared that its exchange incorporates innovative features such as zero-knowledge proof of reserves (zk-proofs) and Multi-Party Computation (MPC) for custody, as well as low latency order execution.
VARA, responsible for regulating all virtual asset activities within Dubai, is responsible for overseeing the exchange’s operations.
Backpack’s CEO and founder, Armani Ferrante, faced challenging circumstances in the past year when Coral, which he had also co-founded, collapsed.