Dubai VARA has released updated crypto rulebooks on 7 key virtual asset activities and set a June 19 deadline for compliance.

Dubai's Virtual Assets Regulatory Authority (VARA) has set a new deadline for all cryptocurrency exchanges and service providers to comply with its updated regulatory framework.

In a recent announcement, VARA published version 2.0 of its activity-based rulebooks. It includes enhanced oversight mechanisms for seven regulated virtual asset activities, such as exchange services and lending.

Dubai VARA’s new crypto rulebook

The updated VARA rulebooks include improvements to seven key regulated virtual asset activities. The focus is on strengthening market protections and maintaining Dubai’s innovative approach.

The comprehensive framework includes advisory services, broker-dealer services, custody services, and exchange services. It also includes lending and borrowing services, virtual asset management and investment services, and virtual asset transfer and settlement services.

Version 2.0 introduces stronger controls, particularly around margin trading and token distribution services.

These are areas that have seen increased activity in Dubai’s growing cryptocurrency market. The amendments also provide for clearer definitions of collateral wallet arrangements.

VARA to harmonize crypto compliance requirements

According to a VARA press release, these updates are designed to harmonize compliance requirements across all licensed activities. This promotes greater market discipline, risk transparency and operational flexibility in Dubai's virtual asset ecosystem.

Ruben Bombardi, general counsel and head of regulatory competence at VARA, emphasized the balance the authority seeks to achieve. "Our commitment is to ensure that innovation and compliance go hand in hand. These rulebook updates strengthen the foundation for a responsive, scalable ecosystem."

UAE consolidates position in global crypto sector

Dubai continues to position itself as a leading hub for cryptocurrency and blockchain technology through VARA's comprehensive regulatory approach.

Established in March 2022 under Law No. 4 of 2022, VARA acts as the competent authority responsible for crypto.

It regulates, supervises and monitors virtual assets and related activities in all commercial zones of Dubai. The regional impact of Dubai’s regulatory framework is evident in recent business developments.

Ripple has announced two new major customers in the UAE using Ripple Payments, as the company highlights that 64% of finance leaders in the Middle East and Africa see faster payments and settlement times as a primary driver for incorporating blockchain-based currencies.

Ripple crypto reports growing demand for its payment solutions across the Middle East from both local firms and traditional financial institutions.

The announcement from Ripple comes as CME Group launches XRP futures contracts today.

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