The Alphabet of UAE's Crypto Law

To navigate the cryptocurrency ecosystem of the UAE, you must decode a maze of acronyms — SCA, VARA, DMCC, ADGM, etc.

Opinion by: Irina Heaver, cryptocurrency lawyer

Any cryptocurrency entrepreneur trying to navigate the cryptocurrency ecosystem of the United Arab Emirates will certainly encounter countless acronyms used in the legal context of this country. From SCA and VARA to DMCC, ADGM, and DFSA, what do these mysterious letter combinations symbolize, and how do you navigate this complex maze?

Moreover, does the abundance of these acronyms and industry-specific terms constitute an effective feature of a system that promotes itself as the number one global cryptocurrency hub? Does this complexity reinforce the ecosystem, or is it a fundamental flaw in this self-proclaimed global cryptocurrency center?

What do all these acronyms mean?

To make it clearer, let's categorize the acronyms into three main types: regulatory authorities, free zones, and government initiatives.

Regulatory Authorities

The UAE has numerous regulatory authorities, which may initially seem confusing, but this is not a flaw. Instead, it is a feature that, if navigated correctly, can yield significant benefits.

Let's start with the main federal regulatory authority, SCA (formerly known as ESCA). SCA stands for the Securities and Commodities Authority, established in 2000. This authority regulates and supervises the financial markets of the UAE, including DFM (Dubai Financial Market) and ADX (Abu Dhabi Securities Exchange). #UAECrypto