VARA Issues Updated Activity Rulebooks to Strengthen Market Integrity and Risk Oversight

Dubai 19 May 2025 :

– The Virtual Assets Regulatory Authority [VARA] today announced the publication of Version 2.0 of its activity-based Rulebooks, marking the latest milestone in Dubai’s ongoing commitment to delivering a future-proof regulatory framework that balances innovation with robust market safeguards.

The updated Rulebooks include enhanced supervisory mechanisms across the following regulated virtual asset [VA] activities:

Advisory services

Broker-dealer services

Custody services

Exchange services

Lending and borrowing services

VA management and investment services

VA transfer and settlement services

Key refinements in Version 3.1 include strengthened controls around margin trading and token distribution services, clearer definitions for collateral wallet arrangements, and harmonised compliance requirements across all licensed activities. The updates are designed to promote greater market discipline, risk transparency, and operational resilience across Dubai’s VA ecosystem.

In line with global regulatory best practices, a 30-day transition period has been granted to all impacted virtual asset service providers [VASPs], with full compliance required by 15 June 2025. VARA’s Supervision Teams will engage directly with each licensed entity to provide activity-specific guidance as needed.

The revised Rulebooks are available for public access via VARA’s official website: https://rulebooks.vara.ae/

– End –

Established in March 2022, following the effect of Law No. 4 of 2022, VARA is the competent entity in charge of regulating, supervising, and overseeing VAs and VA Activities in all commercial zones across the Emirate of Dubai, including Special Development Zones and Free Zones but excluding the Dubai International Financial Centre. VARA plays a central role in creating Dubai’s advanced legal framework to protect investors and establish international standards for Virtual Asset industry governance, while supporting the vision for a borderless economy.