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Dubai’s Virtual Assets Regulatory Authority (VARA) has unveiled Version 2.0 of its regulatory rulebooks. A compliance deadline has been set for June 19, 2025. The updated framework applies to all licensed cryptocurrency exchanges and service providers operating in Dubai.
Established in March 2022 under Law No. 4, VARA has positioned Dubai as a global hub for virtual assets. Its strategic approach is drawing attention from both traditional finance and crypto-native firms.
The revised rulebooks cover seven major virtual asset activities:
Advisory services
Broker-dealer services
Custody services
Exchange services
Lending and borrowing
Asset management
Transfer and settlement services
Notably, margin trading and token distribution now face tighter regulatory controls, with clearer definitions for collateral wallet arrangements.
According to VARA, the changes aim to bring uniformity in compliance standards across all licensed entities. The update promotes greater transparency, risk awareness, and operational resilience in Dubai’s virtual asset market. Ruben Bombardi, General Counsel at VARA, emphasized, “Our commitment remains to ensuring that innovation and compliance go hand in hand.”
Ripple recently announced two new UAE clients for its Ripple Payments platform. The company cited that 64% of finance leaders in the Middle East and Africa prefer blockchain for faster payments. At the same time, CME Group has launched XRP futures, signaling growing institutional interest in the region.
The recent crypto summit held in Dubai and the region’s already established position as a crypto hub point towards a bright future of virtual assets in Dubai. These changes in Dubai VARA may bring more clarity to investors while setting a benchmark for crypto regulation frameworks across the world.
