The Dubai Virtual Assets Regulatory Authority (VARA) has reinforced its enforcement programme to safeguard the integrity of Dubai’s virtual asset ecosystem, taking action against entities operating beyond its regulatory scope.

Following investigations, VARA imposed financial penalties on 19 firms for conducting unlicensed virtual asset activities and breaching its Marketing Regulations.

Sanctions included cease-and-desist orders and fines ranging from AED 100,000 to AED 600,000, depending on the severity and extent of the violations.

The Enforcement Division continues to actively identify and investigate unlicensed operations and take appropriate action.

The announcement serves as a reminder to consumers, investors, and institutions of the financial, legal, and reputational risks associated with engaging unlicensed operators.

Only entities licensed by VARA are authorised to offer virtual asset services in or from Dubai.

A spokesperson from VARA’s Regulatory Affairs and Enforcement Division said:

“Enforcement is a critical component of maintaining trust and stability in Dubai’s virtual asset ecosystem. These actions reinforce VARA’s mandate: to ensure that only firms meeting the highest standards of compliance and governance are permitted to operate. Unlicensed activity and unauthorised marketing will not be tolerated.”

All penalised firms have been instructed to cease operations immediately and stop promoting unlicensed virtual asset services in or from Dubai.

Featured image credit: Edited by Fintech News Middle East, based on image by fabrikasimf via Freepik