OKX to launch regulated retail crypto derivatives from the UAE

OKX, a global crypto exchange and Web3 company announced the launch of regulated retail derivative products with 5X cap, becoming the first global exchange to offer retain futures, perpetual contracts and options within Dubai, UAE. The retail derivative offering is regulated by the Dubai Virtual Assets Regulatory Authority (VARA) under a pilot framework. Retail customers will be able to access futures contracts, perpetual contracts and options with up to 5X leverage, empowering retail traders to respond more effectively to market trends, managing risks with greater precision, securely and compliantly. Cryptopolitan speaking to Rifad Mahasneh, CEO of OKX MENA, asked him why it has extended its crypto derivative product to retail investors, and what this means for the broader crypto market? He explained, “This is a major milestone not just for us at OKX, but for the broader crypto ecosystem. By extending institutional-grade derivatives to retail investors within a regulated framework, we’re leveling the playing field. It means more individuals now have access to advanced tools like futures and options to navigate the markets strategically.” He sees this as a step toward making crypto trading more inclusive, sophisticated, and aligned with the standards of traditional financial markets. According to Mahasneh, this is a major step forward particularly for retail users who may be new to derivative trading. He said, “This reflects a responsible approach to risk management. While leverage limits vary across global markets, we view the 5x cap in the UAE as a necessary and constructive measure. It allows retail traders to access advanced tools in a way that supports long-term market stability and user protection. At the same time, our offerings for qualified investors and institutional clients remain robust, with up to 20x leverage still available to those audiences.” It is also a pivotal moment for the broader crypto market says Mahasneh as it underscores the maturation of the digital asset space, moving towards a future where sophisticated financial products are offered within robust regulatory frameworks, providing greater peace of mind and confidence for traders and investors. He added, “OKX is committed to pioneering a secure and compliant environment with direct AED and USD on/off ramps, ultimately fostering wider adoption and trust in the crypto ecosystem as more people embrace this evolving asset class.” Why retail crypto derivatives from UAE? In terms of why OKX chose the UAE to launch this service? Mahasneh explained to Cryptopolitan, “It was a very deliberate decision as we have seen strong demand from our user base in the region for more advanced trading products. We saw growing demand from retail traders in the region actively seeking access to advanced trading products like futures, perpetual contracts, and options.” Additionally, he noted that the regulatory clarity in the UAE was also a perfect environment to responsibly meet that demand. He added, We’ve also taken into account the need for customers to be able to trade using funds they can transfer in and out from their UAE bank account, a core element of our offering.” In short according to Mahasneh, the appetite is there, infrastructure is there, and proactive regulation is present. He said, “We’ve worked closely with VARA to align this offering with their framework, and we’re proud to launch this pilot from Dubai. The UAE has created an environment where innovation and compliance go hand in hand. This has enabled OKX to introduce sophisticated products like derivatives to retail users in a responsible and secure manner.” Mahasneh believes that OKX with its retail crypto derivatives will move crypto into the financial mainstreams. He explained, “This launch sets an example of how thoughtful regulation and innovation can go hand in hand, and that’s a model we hope other markets will follow. Our goal is to empower users through education, risk tools, and accessibility, which ultimately drives more trust and adoption. As we roll this out regionally, we expect it to inspire confidence and participation globally.” OKX’s derivatives product under pilot framework On asking Mahasneh how many users will be allowed to participate and whether there is an investment cap, he explained that OKX is following all local compliance guidelines closely. He stated, “At this stage, we’re not disclosing specific user caps or investment limits, as these are defined in line with regulatory direction and may evolve as the pilot progresses. What we can say is that we’re prioritizing a responsible, secure rollout, one that ensures users are protected and fully informed every step of the way.” Other financial regulators such as the Hong Kong financial market regulator have only just started to open up to the idea of allowing crypto derivatives trading for professional investors. The Securities and Futures Commission (SFC), emphasized that its priority is risk management and ensuring trades are executed in an orderly, transparent, and secure manner. Data from TokenInsight shows that crypto derivatives trading volume reached US$21 trillion in the first three months of 2025, while the spot market handled only US$4.6 trillion. Cryptopolitan Academy: Coming Soon – A New Way to Earn Passive Income with DeFi in 2025. Learn More

Source: Cryptopolitan