The cryptocurrency regulator for Dubai, Virtual Assets Regulatory Authority (VARA), has issued an invitation to companies doing business in the emirate to register or receive a license by November 17 at the latest, or face decommissioning.
Over a thousand legacy businesses have applied to register under Dubai’s unique legal framework, showcasing the city’s commitment to fostering a strong and open virtual asset environment as the Emirate solidifies its position in the global arena.
The regulated virtual assets industry in Dubai began with the foundation of the Authority by Law No. 4 of 2022 and the publication of VARA regulations in February 2023.
This industry includes specialist Virtual Asset Service Providers (VASPs) as well as conventional companies engaged in virtual asset activities. Consequently, licenses or registrations under VARA are necessary for any legacy operators doing business in the Emirate of Dubai.
Building on extensive outreach efforts carried out in cooperation with the Department of Economy and Tourism (DET) and the Dubai Free Zone Council (DFZC) until 2023, an enthusiastic licensing team at VARA has successfully begun an expedited domestic outreach program.
In an effort to gauge compliance with the regulations it has set, Dubai’s Virtual Assets Regulatory Authority (VARA) is making a greater effort to communicate with the virtual asset market. The requirement for licenses for all Virtual Asset Service Providers (VASPs) operating in the Emirate is one of its primary points of emphasis.
“VARA is calling on VASPs that have yet to submit the applications, have missed the notifications from their commercial licensing authorities, or have submitted incomplete forms to proactively get in touch, to avoid unintended regulatory consequences,” the authority stated.