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Dubai Fines 19 Crypto Firms for Operating Without Licenses

Key Takeaways

  • ​VARA fined 19 crypto firms in Dubai for operating without proper licenses and violating local promotion rules;
  • Each company was ordered to stop operations immediately and remove any unauthorized marketing activities;
  • The regulator aims to protect users and ensure accountability by enforcing strict standards in the crypto industry.

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Dubai Fines 19 Crypto Firms for Operating Without Licenses

Dubai’s Virtual Assets Regulatory Authority (VARA) has penalized 19 crypto-related businesses for running without official clearance.

These firms were ordered to stop operations immediately and refrain from promoting services that lacked authorization.

The action involved both financial penalties and formal warnings. Fines ranged between 100,000 and 600,000 dirhams (approximately $27,000 to $163,000), depending on the severity of each case.

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According to VARA, these measures aim to regulate the crypto industry and protect users from potential risks. An internal investigation found the companies in question were either offering crypto services without approval or promoting their products without meeting local requirements.

VARA’s enforcement division stated that taking firm action is necessary to ensure public confidence in the market. The division stated:

Unlicensed activity and unauthorised marketing will not be tolerated.

Matthew White, the head of VARA, previously commented that these regulations are meant to hold service providers accountable. He noted that by following clear standards, companies help build trust and transparency within the local market.

The 19 businesses involved have been told to end any operations and promotions that fall outside the legal framework. VARA confirmed that it will continue to monitor the industry and take action against any breaches it identifies.

Poland’s parliament recently took a step toward regulating digital asset services by approving Bill 1424. What does the bill cover? Read the full story.

Aaron S. Editor-In-Chief
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.
With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.
Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.
Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.

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