emirates7 - In line with the stated vision to establish Dubai as a premier ‘global hub for virtual assets’, committed to responsibly scaling the ecosystem delivering 3% of GDP, the Virtual Assets Regulatory Authority (VARA) has prioritised anchoring its foundations to be the world’s most secure and progressive jurisdiction for the Virtual Asset Economy.
When establishing this first-of-its-kind regulatory regime in 2022, His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai, had mandated uncompromised investor protection and market stability, as essential levers to drive market credibility, accountability and sustainable growth.
VARA has since been able to secure global institutional interest and attract industry leaders and innovation drivers across the ecosystem, thanks to its proactive focus on responsible enablement. Recognised for its agile regulatory framework and dynamic industry engagement, the jurisdiction has also delivered on its comprehensive enforcement programme, coordinated efficiently across relevant Authorities. This has not only curbed unlicensed activity but also reinforced market integrity and governance, serving as the benchmark for a ‘responsible’ global marketplace.
The consistency of supervisory monitoring, zero-tolerance on non-compliant operations that compromise consumer safety, and synchronous delivery across relevant authorities - Regulatory, Law Enforcement and Judiciary – are programmed to ensure that every operator in Dubai is held responsible for the risk it introduces into the marketplace.
The Authority’s achievements since its inception reflect Dubai’s commitment to cultivating an advanced regulatory environment designed to house the global hub of the Future Economy.
VARA has prioritised building a rigorous yet balanced supervisory system - boosting transparency, safeguarding investors, and establishing a leading legislative and supervisory infrastructure that actively supports the growth of the digital economy. Such measures have resulted in securing consumer interests, reinforcing investor confidence, and assuring the trust that global financial institutions place in Dubai as the preferred hub for the future of finance.
As the worlds of traditional finance (TradFi) and decentralised finance (DeFi) continue to converge, Dubai remains committed to evolving its regulatory framework and encouraging responsible global innovation that enables more inclusive economic participation.
Deepa Raja Carbon, VARA’s Managing Director and Vice Chair, said, “As global finance becomes increasingly borderless and decentralised, Dubai has followed a proactive approach to driving the leadership of the new economy and financial sectors. Under this approach, VARA’s regulatory priority has been to a passportable model anchored on uncompromised safety, so that Dubai becomes the future-ready nexus for the Virtual Asset economy. The thorough and rigorous nature of these actions are a clear signal that our VA market operates on ‘trust’, where compliance and accountability are the essential currency for any entity seeking to participate.”
VARA’s Marketing Regulations were introduced as an intentional first step; setting clear rules of engagement for the industry. These were followed by structured education for consumers and active alignment with the ecosystem to ensure that objectives were understood and governance standards established. VARA’s prompt, equitable, and fair enforcement programme helped reinforce credibility, reduce complaints and cut down on the number of unlicensed operators.
VARA works closely with relevant federal and local entities, including the Securities and Commodities Authority (SCA), the Central Bank of the UAE (CBUAE), The National Committee for Anti-Money Laundering and Combating the Financing of Terrorism, the Economic Security Center of Dubai (ESCD), UAE Financial Intelligence Unit, Dubai Economy and Tourism, Dubai Police, Dubai Electronic Security Centre, Telecommunications and Digital Government Regulatory Authority, Public Prosecutorial and Legal Departments and all relevant Dubai’s Economic Free Zones.
These partnerships aim to ensure the effective coordination and complete transparency of enforcement actions. VARA’s policy ensures that concluded enforcement decisions are published on its website, while collections and further enforcement actions including asset recoveries are referred to authorised judicial representatives to maintain strong governance and accountability.
Parallel to its rigorous regulatory framework, Dubai’s Virtual Asset market has seen a robust and controlled growth. Year to Date Virtual Assets transaction volumes across regulated entities under VARA nearly AED2.5 trillion, while assets under management have exceeded AED9.6 billion in 2025.
Dubai currently hosts over 40 licensed virtual asset service providers (VASPs) and more than 600 registered service providers. It is currently processing over 250 license applications and has welcomed 300 global first-time entrants to the UAE. Over 3 million investors and traders are serviced from Dubai.
Commenting on VARA’s progress, Matthew White, Chief Executive Officer, said, “By combining clear regulatory frameworks and encouraging responsible market conduct, VARA is delivering a regulatory environment that fosters innovation while protecting the public interest. As Dubai’s virtual asset market continues to mature, VARA remains committed to building a secure, sustainable, and globally competitive ecosystem that cements Dubai’s position as a trusted hub for the New Economy.”
When establishing this first-of-its-kind regulatory regime in 2022, His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai, had mandated uncompromised investor protection and market stability, as essential levers to drive market credibility, accountability and sustainable growth.
VARA has since been able to secure global institutional interest and attract industry leaders and innovation drivers across the ecosystem, thanks to its proactive focus on responsible enablement. Recognised for its agile regulatory framework and dynamic industry engagement, the jurisdiction has also delivered on its comprehensive enforcement programme, coordinated efficiently across relevant Authorities. This has not only curbed unlicensed activity but also reinforced market integrity and governance, serving as the benchmark for a ‘responsible’ global marketplace.
The consistency of supervisory monitoring, zero-tolerance on non-compliant operations that compromise consumer safety, and synchronous delivery across relevant authorities - Regulatory, Law Enforcement and Judiciary – are programmed to ensure that every operator in Dubai is held responsible for the risk it introduces into the marketplace.
The Authority’s achievements since its inception reflect Dubai’s commitment to cultivating an advanced regulatory environment designed to house the global hub of the Future Economy.
VARA has prioritised building a rigorous yet balanced supervisory system - boosting transparency, safeguarding investors, and establishing a leading legislative and supervisory infrastructure that actively supports the growth of the digital economy. Such measures have resulted in securing consumer interests, reinforcing investor confidence, and assuring the trust that global financial institutions place in Dubai as the preferred hub for the future of finance.
As the worlds of traditional finance (TradFi) and decentralised finance (DeFi) continue to converge, Dubai remains committed to evolving its regulatory framework and encouraging responsible global innovation that enables more inclusive economic participation.
Deepa Raja Carbon, VARA’s Managing Director and Vice Chair, said, “As global finance becomes increasingly borderless and decentralised, Dubai has followed a proactive approach to driving the leadership of the new economy and financial sectors. Under this approach, VARA’s regulatory priority has been to a passportable model anchored on uncompromised safety, so that Dubai becomes the future-ready nexus for the Virtual Asset economy. The thorough and rigorous nature of these actions are a clear signal that our VA market operates on ‘trust’, where compliance and accountability are the essential currency for any entity seeking to participate.”
VARA’s Marketing Regulations were introduced as an intentional first step; setting clear rules of engagement for the industry. These were followed by structured education for consumers and active alignment with the ecosystem to ensure that objectives were understood and governance standards established. VARA’s prompt, equitable, and fair enforcement programme helped reinforce credibility, reduce complaints and cut down on the number of unlicensed operators.
VARA works closely with relevant federal and local entities, including the Securities and Commodities Authority (SCA), the Central Bank of the UAE (CBUAE), The National Committee for Anti-Money Laundering and Combating the Financing of Terrorism, the Economic Security Center of Dubai (ESCD), UAE Financial Intelligence Unit, Dubai Economy and Tourism, Dubai Police, Dubai Electronic Security Centre, Telecommunications and Digital Government Regulatory Authority, Public Prosecutorial and Legal Departments and all relevant Dubai’s Economic Free Zones.
These partnerships aim to ensure the effective coordination and complete transparency of enforcement actions. VARA’s policy ensures that concluded enforcement decisions are published on its website, while collections and further enforcement actions including asset recoveries are referred to authorised judicial representatives to maintain strong governance and accountability.
Parallel to its rigorous regulatory framework, Dubai’s Virtual Asset market has seen a robust and controlled growth. Year to Date Virtual Assets transaction volumes across regulated entities under VARA nearly AED2.5 trillion, while assets under management have exceeded AED9.6 billion in 2025.
Dubai currently hosts over 40 licensed virtual asset service providers (VASPs) and more than 600 registered service providers. It is currently processing over 250 license applications and has welcomed 300 global first-time entrants to the UAE. Over 3 million investors and traders are serviced from Dubai.
Commenting on VARA’s progress, Matthew White, Chief Executive Officer, said, “By combining clear regulatory frameworks and encouraging responsible market conduct, VARA is delivering a regulatory environment that fosters innovation while protecting the public interest. As Dubai’s virtual asset market continues to mature, VARA remains committed to building a secure, sustainable, and globally competitive ecosystem that cements Dubai’s position as a trusted hub for the New Economy.”