Emirates NBD Becomes First Tier-One Bank in UAE to Offer Crypto via Liv X

Dubai’s largest bank, Emirates NBD, has expanded its digital banking services with the launch of a retail cryptocurrency offering via its Liv X mobile banking app. The initiative, spearheaded by Liv Digital Bank, marks a significant step toward integrating digital assets into mainstream financial services in the UAE.

To facilitate this offering, Liv Digital Bank has partnered with Aquanow, a locally licensed firm regulated by Dubai’s Virtual Assets Regulatory Authority (VARA). Additionally, Emirates NBD’s recent investment in Zodia Custody ensures that users benefit from institutional-grade security for their digital assets.

Institutional-Grade Custody for Retail Users

To ensure the security of digital assets, Zodia Custody will provide institutional-grade custody solutions for Liv X users.

"Our platform is designed with resilience in mind, integrating air-gapped Hardware Security Modules (HSMs) and segregated on-chain wallets to mitigate security risks," Gerry Afentakis, Managing Director, Europe at Zodia Custody, told Unlock Blockchain. "Crucially, no transaction can be initiated or completed without the requisite digital signatures from the client’s private keys, ensuring that neither Zodia nor its employees have the ability to alter or approve transactions unilaterally. This guarantees a high level of security and non-repudiation for our clients."

Adding to this, Zane Suren, Managing Director, Commercial, MEA at Zodia Custody, highlighted the company’s rigorous security measures. "We employ complete segregation of client assets in a tamper-resistant, geographically distributed, and secure HSM setup. Our real-time governance and 24/7 hardware-enforced key management provide the institutional-grade security that financial institutions expect," Suren told Unlock Blockchain.

A Unique Approach to Digital Asset Custody

Unlike traditional crypto custodians, Zodia Custody is backed by top-tier banking institutions, including Standard Chartered, SBI, Northern Trust, National Australia Bank, and now Emirates NBD.

"Our role goes beyond safekeeping digital assets; we help institutions navigate the complexities of this evolving space by mitigating operational and regulatory risks," said Afentakis. "We are committed to maintaining the highest compliance and governance standards, integrating best practices from traditional finance into the digital asset ecosystem."

Suren further emphasized Zodia’s off-exchange settlement product, Interchange, which allows clients to keep assets securely in custody while mirroring them onto an exchange for trading. "Our wallets are bankruptcy-remote, giving institutional clients peace of mind that aligns with traditional financial market expectations," Suren added.

Strategic Expansion in the UAE

Zodia Custody’s partnership with Emirates NBD signals a strong push into the Middle Eastern market, reinforcing the UAE’s position as a global digital asset hub.

A Catalyst for Crypto Adoption in the UAE

Emirates NBD's move is expected to set a precedent for other banks in the region, accelerating the adoption of digital assets in the Middle East.

"Emirates NBD’s move marks a significant milestone for crypto adoption in the Middle East and will undoubtedly serve as a catalyst for other banks to follow suit," said Arushi Goel, Head of Policy for the Middle East & Africa at Chainalysis. "Banks have long been the primary facilitators of financial services in the region, and by integrating crypto services into their platforms, they are lowering barriers to entry for consumers. With both the traditional finance and crypto sectors being well regulated in the UAE, this convergence will further strengthen consumer trust and confidence."

The UAE’s retail crypto market is particularly promising, with small (<$1,000) and large ($1,000–$10,000) retail transactions surging by over 80% year-on-year, according to Chainalysis' latest Geography of Crypto Report. However, Goel emphasized that banks should look beyond retail, as the UAE is one of the few markets witnessing adoption across all transaction size brackets.

A Future-Ready Approach to Digital Finance

As banks continue to explore digital asset services, compliance and security remain at the forefront of innovation.

Zodia Custody remains at the forefront of this transformation. "By continuously integrating advanced security technologies and maintaining open dialogue with regulators, we ensure our custody solutions are adaptable to changing industry requirements." Afentakis affirmed.

Digital assets provide exceptional speed, efficiency, and transparency; however, they also come with unique challenges. Addressing these requires rigorous compliance frameworks, regular security testing, and continuous collaboration with global policymakers to ensure a secure and regulated digital asset environment.

With Emirates NBD leading the way in crypto integration and Zodia Custody ensuring institutional-grade security, the UAE’s financial sector is positioned to shape the future of digital assets on a global scale.