Dubai Unveils Virtual Assets Laws About Crypto And NFTs

Dubai appears to be at the forefront of technology once more with its new Virtual Assets Law on NFTs and crypto. The crypto and NFT spaces are still nascent and volatile which has made many regulators and authorities remain hesitant on approving their operations within their jurisdictions.

But, Dubai seems to have other ideas in mind. From the autonomous public organization Virtual Assets Regulatory Authority (VARA) to its presence on the metaverse, the UAE appears ready to regulate digital assets now more than ever.

Notably, Dubai’s virtual assets law strives to take crypto and nonfungible token businesses to the next level.

What Does Dubai’s Virtual Asset Law Entail?

Interestingly, the Virtual Asset Law is part of Law No. 4 issued by Sheikh Mohammed bin Rashid Al Maktoum, Dubai’s ruler, this year. In that context, the UAE strives to use the new law to expand its presence in the Metaverse.

Obviously, the major step also means that Dubai welcomes crypto-related businesses in its ultra-modern physical land.

Another notable part of the process is the autonomous public organization VARA. Analysts state that this organization works in conjunction with the UAE Central Bank and Securities Authority and the Dubai World Trade Center Authority. Fundamentally, VARA will support, promote, and regulate any digital asset and crypto-related business endeavor.

For example, Dubai residents will have to secure a VARA permit for the following business operations:

• NFT and crypto platform operations;
• Exchanging cryptos and other digital assets;
• Digital asset custody services;
• Trading tokens stored on the blockchain;
• Digital wallet services.

The Virtual Asset Law’s VARA MetaHQ is now available on The Sandbox for crypto and nonfungible token traders.

Where Can You Access Dubai’s VARA?

The Virtual Asset Law is now valid in all of the free zones within Dubai. This area has been evolving at top speed ever since 2015 when it was launched. Nonetheless, you can also find the Virtual Assets Regulatory Authority in The Sandbox. Dubai inaugurated the MetaHQ in May 2022 to help crypto and NFT traders learn about the new law. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum stated:

“Dubai maintains a leading position at the forefront of technological transformation. We have exceeded the role of an early adopter to become an innovator and participant in shaping the future of this technology.”