- On June 3, 2023, Crypto.com confirmed that it got initial provisional approval for its virtual asset license from Dubai Virtual Assets Regulatory Authority (VARA).
- The world’s largest cryptocurrency exchange received the MVP license last year along with firms like Hex Trust and Komainu.
- Dubai’s Virtual Assets Regulatory Authority (VARA) is the world’s first regulating authority with expertise in regulating virtual asset sectors.
Crypto.com, a cryptocurrency exchange trusted by 80 million users globally, announced on March 20, 2023, that Dubai’s Virtual Assets Regulatory Authority (VARA) permitted its minimal viable product (MVP) preparatory license. However, this Singapore-based cryptocurrency exchange became capable of extending its services to Dubai.
Importance of MVP preparatory license for Crypto.com
“The MVP phase in its preparatory stage allows for approved licensees to fulfill all pre-conditions required to undertake MVP market functions within the VARA regime. Once licensed to be operational, The exchange will be able to extend its approved suite of duly controlled virtual assets activities spanning a range of crypto exchange services,” the company mentioned in the statement.
On June 3, 2023, Crypto.com confirmed that it got initial provisional approval for its virtual asset license from Dubai Virtual Assets Regulatory Authority (VARA). According to local media reports, the MVP license was offered to the exchanges after studying the concerns of the particular exchanges. Including Dubai Virtual Assets Regulatory Authority (VARA), Know Your Customer(KYC), security measures. Anti Money Laundering/Countering in the financing of terrorism capabilities.
With the help of an approved license, Crypto.com will be able to offer and extend its exchange services. Such as margin/leverage trading, brokerage, and OTC offerings for institutional investors. Moreover, as per reports, the world’s largest cryptocurrency exchange received the MVP license last year along with the firms like Hex Trust and Komainu.
Quick Intro to VARA
Dubai Virtual Assets Regulatory Authority (VARA) was launched for the first time in Dubai. On March 11 2022 by His Highness Sheikh Mohammed bin Rashid Al Maktoum, the Vice President and Prime Minister of the UAE and Ruler of the Emirate of Dubai.
The virtual asset regulation issued as law no. 02. As per researched data, Dubai’s Virtual Assets Regulatory Authority (VARA). The world’s first regulating authority with expertise in regulating virtual asset sectors.
Moreover, VARA is responsible for supervising, overseeing and regulating virtual assets. Virtual assets-related activities in all zones across the Emirate of Dubai, such as free zones. The special development zones excluding the Dubai International Financial Centre.
Objectives and Activities of VARA Dubai
- The first and foremost objective of VARA is to prevent the region from illegal practices in the virtual asset sector and develop regulations.
- Attract virtual asset-based organizations to set up their businesses in the Emirates.
- Protection of users’ data in collaboration with Dubai Digital authority.
- Education beneficiaries and raise awareness about virtual assets and their risks.