Copper Withdraws ADGM License to Focus on US and Switzerland

Copper Securities (ME) Limited has withdrawn its Financial Services Permission in Abu Dhabi Global Market, reversing its regional expansion plans less than four months after announcing in-principle approval for broader digital asset services.

The Financial Services Regulatory Authority’s public register records the withdrawal of permission number 200039 effective 28 September 2026. Copper’s ADGM withdrawal brings an existing regulatory permission to an end, alongside an expansion program that had remained subject to final authorization.

In a statement provided to Unlock Blockchain through its media agency, Copper attributed the decision to a consolidation of its international regulatory presence.

“The withdrawal of Copper Securities (ME) Limited’s Financial Services Permission forms part of Copper’s broader strategy to consolidate its regulatory presence and focus on the US and Switzerland, where demand from institutional clients continues to grow,” said Elin Cherry, Co-CEO of Copper.

From ADGM expansion to license withdrawal

The decision marks a substantial change from the ambitions Copper outlined earlier this year.

In a January interview with Unlock Blockchain, Charlotte Nedir, then Senior Executive Officer of Copper ME, described plans to build a regional platform for institutional custody, settlement and collateral management.

She presented the Abu Dhabi entity as a prospective cornerstone for institutional adoption in the Middle East, supported by ADGM’s framework for virtual assets and tokenized financial instruments.

On 9 June 2026, Copper announced in-principle approval for a Variation of Permission to broaden its regulated activities. The proposed offering included digital asset custody, access to its ClearLoop collateral management infrastructure, institutional rewards programs and brokerage for tokenized money market funds.

Those services remained conditional on final FSRA approval and the company demonstrating operational readiness.

At the time, then-group CEO Amar Kuchinad said: “We see the Middle East, and ADGM in particular, as central to our global strategy.” Unlock reported the expansion approval on 10 June.

The existing permission subsequently withdrawn covered dealing in investments as matched principal and arranging custody for securities and fund units. The current register entry does not record the proposed virtual asset custody permission becoming effective before withdrawal.

Nedir has separately confirmed to Unlock Blockchain that she is no longer with Copper. She declined to comment on the group’s strategy and referred inquiries to its media agency.

Regulatory consolidation extends beyond Abu Dhabi

Copper’s decision coincided with another reduction in its regulatory footprint.

Liechtenstein’s Financial Market Authority announced that Copper Markets (Liechtenstein) AG relinquished its custodian registration effective 24 September 2026, four days before the ADGM withdrawal. The authority published its notice on 14 October.

The two withdrawals support Copper’s explanation that the group is consolidating its regulatory presence across jurisdictions.

They also occurred during a leadership transition. Copper appointed Cherry and Sam Goh as co-CEOs effective 21 September, with Kuchinad moving into an advisory role. The timing places the withdrawals within a wider corporate transition, although it does not establish when the decisions were made.

US institutional business takes priority

Copper’s emphasis on the United States follows its August announcement that Copper Markets (US) Inc., its SEC-registered broker-dealer, had been accepted as a FINRA member.

The company described that development as establishing its US presence as a Qualified Custodian and providing a foundation for institutional custody, financing and access to the ClearLoop Network.

In its statement to Unlock, Copper pointed to the US broker-dealer’s FINRA membership and Qualified Custodian status as evidence of its continued investment in the American market.

“This strategic consolidation enables Copper to concentrate its resources on strengthening its institutional offering and supporting its next phase of growth,” Cherry said.

What changed between June and September?

Copper’s explanation leaves an important question unanswered: what changed between June, when ADGM was described as central to its global strategy, and September, when the company withdrew its permission?

Growing institutional demand in the US may explain the attraction of that market. It does not fully explain why maintaining an Abu Dhabi platform ceased to make commercial sense.

Was the regional opportunity taking longer to materialize than Copper expected? Had the economics of building a local operation become less compelling? Or did the group’s changing priorities leave limited resources for an expansion still awaiting final authorization?

These are questions raised by the sequence of events, rather than conclusions established by the available evidence. Copper’s statement does not address them.

In Unlock’s assessment, the withdrawal highlights the distance between securing regulatory approval and building a commercially sustainable business. A jurisdiction can offer regulatory clarity and attract global names while individual firms must still weigh the cost, timing and scale of a local presence against opportunities elsewhere.

Copper’s decision does not, by itself, establish that regional demand is weak. It does suggest that the opportunity the company described earlier this year was no longer sufficient to preserve ADGM’s place among its immediate priorities.