Bybit official logo
Overall rating: ★★★★★★★★★★ (3.5/5)
Regulation: Full SCA licence (UAE mainland, since late 2025); provisional, non-operational VARA licence for Dubai Active in: UAE
Verdict at a glance
| What works well | Where it falls short |
|---|---|
| ✓ First major exchange to secure a full SCA licence covering the UAE mainland | ✗ Dubai (VARA) licence remains provisional and non-operational, AED deposits and some products may be restricted for Dubai-specific accounts |
| ✓ Large, liquid spot and derivatives exchange with a broad product range comparable to Binance's | ✗ Regulatory position depends on where in the UAE you're considered resident, more complex than Binance's or Crypto.com's more straightforward VARA licensing |
| ✓ Early-mover position as UAE crypto regulation extends beyond Dubai's free zones | ✗ Crypto as an asset class remains highly volatile regardless of exchange licensing |
| ✓ No minimum deposit | ✗ Not a substitute for a diversified core portfolio built through conventional brokers or robo-advisors |
Compare with other Crypto exchanges
Overview
Bybit became the first major exchange to secure a full SCA licence covering operations across the UAE mainland, a notable step beyond the Dubai-only VARA free zone that most competitors are confined to. This matters because the SCA's remit covers the UAE outside the DIFC and ADGM financial free zones, effectively the geography most UAE residents actually live and bank in, whereas VARA's licence applies specifically within Dubai's jurisdiction.
Its Dubai (VARA) licence remains provisional and non-operational, so AED deposits and some products may still be restricted for Dubai-specific accounts even though the broader mainland SCA licence is active. This split status is worth understanding rather than glossing over: it means Bybit's regulatory position depends partly on where in the UAE you're considered resident for account purposes.
Worth knowing both for what it offers today, a large, liquid spot and derivatives exchange with a broad product range comparable to Binance's, and for where regulation is heading: mainland SCA licensing is likely to become more common as the UAE's crypto framework matures, and Bybit's early move here may prove to be a meaningful first-mover advantage.
For most readers, the practical takeaway is the same as for Binance and Crypto.com: confirm exactly which Bybit entity and licence covers your specific account based on your emirate of residence, and treat any crypto allocation as a small satellite holding alongside, not instead of, a diversified core built through the brokers and robo-advisors covered elsewhere in this guide. Bybit's split regulatory status is a genuine point of differentiation, but it doesn't change the underlying volatility of crypto as an asset class.
To open an account with Bybit, click here.
Pros and cons
Strengths
First major exchange to secure a full SCA licence covering the UAE mainland
Large, liquid spot and derivatives exchange with a broad product range comparable to Binance's
Early-mover position as UAE crypto regulation extends beyond Dubai's free zones
No minimum deposit
Drawbacks
Dubai (VARA) licence remains provisional and non-operational, AED deposits and some products may be restricted for Dubai-specific accounts
Regulatory position depends on where in the UAE you're considered resident, more complex than Binance's or Crypto.com's more straightforward VARA licensing
Crypto as an asset class remains highly volatile regardless of exchange licensing
Not a substitute for a diversified core portfolio built through conventional brokers or robo-advisors
Fees and costs
Bybit's spot trading fees start from around 0.1% per trade, broadly in line with Binance's headline spot fee.
Bybit's derivatives products carry their own fee structures, separate from spot trading fees, confirm current rates directly if derivatives trading is part of your plan.
There is no minimum deposit. As with the other exchanges in this guide, the relevant fee comparison for most readers is the spot trading fee on a small, considered allocation, the broader derivatives fee structures are only relevant if you deliberately choose to use those products.
| Fee item | What to expect |
|---|---|
| Spot trading fee | From around 0.1% per trade |
| Minimum deposit | None |
| Derivatives | Separate fee structure - confirm current rates directly |
Regulation and safety
Bybit holds a full Securities and Commodities Authority (SCA) licence covering operations across the UAE mainland, the geography outside Dubai's DIFC and Abu Dhabi's ADGM financial free zones, since late 2025.
Separately, Bybit holds a provisional, non-operational Virtual Assets Regulatory Authority (VARA) licence for Dubai specifically. This licence has not yet reached full operational status, meaning AED deposits and some products may still be restricted for accounts considered Dubai-based.
The practical implication: Bybit's regulatory protections may differ depending on whether your account is treated as UAE mainland (covered by the active SCA licence) or Dubai-based (covered by the provisional VARA licence). Confirm which applies to your account directly with Bybit.
Who Bybit is right for, and who should look elsewhere
Bybit is a good fit if you:
Want SCA (mainland UAE) regulatory coverage specifically
Trade both spot and derivatives crypto products
Are tracking how UAE crypto regulation is evolving
Understand the current split between Bybit's active SCA licence and its provisional VARA status
Consider an alternative if you:
Want the most straightforward, fully operational licensing across both mainland and Dubai (consider Crypto.com or Binance)
Are based in Dubai specifically and want AED deposits without restriction today
Are completely new to investing in general (build a diversified core first via our other category pages)
Aren't comfortable with a regulatory position that depends on where in the UAE you're considered resident
How to choose: Bybit vs. the alternatives
Use this quick guide to match the right platform to your situation:
If you're based on the UAE mainland (outside Dubai's free zones) and want SCA-specific coverage: Bybit, the first major exchange to secure a full SCA mainland licence, though its Dubai (VARA) status remains provisional.
If you want the broadest range of cryptocurrencies and a fully operational licensed UAE entity: Binance, via its VARA-licensed Binance FZE entity, offers the widest selection of supported assets among the four exchanges in this guide.
If you want a fully licensed, consumer-friendly app with a crypto card and no split regulatory status to navigate: Crypto.com's full VARA Broker-Dealer licence and polished interface make it one of the most approachable options for a first small allocation.
If you're new to crypto altogether: Start by building a diversified core portfolio through the brokers and robo-advisors covered elsewhere in this guide, and only then consider a small, considered crypto allocation through a fully licensed exchange.
COST COMPARISON IN PRACTICE For a Gulf-based investor allocating, say, $50 a month (a genuinely small, single-digit-percentage allocation alongside a $1,000 monthly diversified investing plan) to crypto via Bybit, spot trading fees starting around 0.1% per trade amount to roughly $0.05 per monthly purchase, broadly in line with Binance and a trivial difference from Crypto.com's slightly lower headline rate. As with the other exchanges in this category, fees at this scale are essentially a rounding error. What distinguishes Bybit isn't cost, it's regulatory geography: its full SCA mainland licence versus its provisional Dubai VARA status means the 'cost' of choosing Bybit over Binance or Crypto.com is better thought of as a question of which jurisdiction's protections apply to your account, not a difference in trading fees. |
Ready to get started? To open an account with Bybit, click here.
How to open an account
1. Confirm which Bybit entity and licence (mainland SCA or Dubai VARA) would cover your account based on your emirate of residence.
2. Complete identity verification as required for the relevant licensed entity.
3. If you're Dubai-based, check current restrictions on AED deposits and products under Bybit's provisional VARA status before funding your account.
4. Decide on a small, considered allocation for crypto as part of your wider portfolio before funding the account.
5. Confirm current spot trading fees, and separately confirm derivatives fee structures if relevant to your plans.
6. Treat your Bybit allocation as a satellite holding alongside, not instead of, a diversified core built through the brokers and robo-advisors covered elsewhere in this guide.
Alternatives to consider
Binance: for the broadest range of cryptocurrencies on a fully operational VARA-licensed UAE entity
Crypto.com: for a fully VARA-licensed broker-dealer with a more consumer-friendly app, without Bybit's split mainland/Dubai regulatory status
OKX: if you already use OKX globally and want to track its UAE licensing progress
Frequently asked questions: Bybit
Yes, Bybit holds a full SCA licence covering the UAE mainland since late 2025. Its Dubai-specific VARA licence remains provisional and non-operational, so the regulatory position that applies to your account depends on where in the UAE you're considered resident.
It means Bybit has taken steps toward full Dubai (VARA) licensing but hasn't yet reached full operational status there, AED deposits and some products may still be restricted for Dubai-based accounts as a result. The mainland SCA licence is separate and is fully active.
This depends on your individual circumstances and risk tolerance, but for most diversified investors, crypto, if held at all, tends to represent a small single-digit percentage of an overall portfolio.
Binance and Crypto.com both hold fully operational VARA licensing in Dubai. Bybit's position is split: a full, active SCA licence for the UAE mainland, but only a provisional, non-operational VARA licence for Dubai specifically.
For most readers of this guide, no, not without first specifically understanding how those products work. As with Binance, it's easy to drift from simple spot purchases into leveraged derivatives with a fundamentally different risk profile.