INSUBCONTINENT EXCLUSIVE:
Opinion by: Irina Heaver, crypto lawyer.Founders who treat regulatory structuring as a central part of their go-to-market strategy are the
ones who thrive in the UAE
It is, however, a place where thoughtful, well-prepared founders are rewarded with speed, clarity and access to a highly supportive
licensing landscape in the United Arab Emirates can be hard to grasp, so much so that even experienced venture capitalists, serial
systemsThe UAE is a federal country comprising seven emirates, operating under two distinct legal systems.The mainland legal system, known
Market (ADGM) and Dubai International Financial Centre (DIFC), operate independently under English common law
bifurcation is crucial because the regulatory authority governing your crypto activities depends mainly on the legal framework under which
you choose to operate.One country, five crypto regulatorsFive separate authorities regulate crypto and related activities, each with its own
jurisdiction, mandate and licensing framework.On the mainland side, the three relevant regulators are:The Central Bank of the UAE (CBUAE):
Securities and Commodities Authority (SCA): regulates crypto exchanges, broker-dealers and token offerings that resemble securities or
commodity contracts.The Dubai Virtual Assets Regulatory Authority (VARA): regulates most virtual asset service providers (VASPs) operating
two separate regulators:The Financial Services Regulatory Authority (FSRA): the financial watchdog for ADGM, which developed one of the most
advanced regulatory frameworks for digital assets back in 2018.The Dubai Financial Services Authority (DFSA): the regulator for DIFC, with a
cautious but evolving approach to crypto assets.This unique framework can be both a blessing and a challenge
Choosing the wrong regulator or failing to understand the scope of each authority can result in wasted time, missed opportunities or, in
VARA, SCA or ADGM are potential homes for you
welcome to the grown-up table
appAre you looking to make big money moves?The Central Bank will be watching you closely
Founders often want to build the entire offering in one go, which can be a recipe for regulatory burnout
structuring as a core element of their go-to-market strategy are the ones who succeed in the UAE.Success demands a thorough regulatory
assessment from the outset, alignment of a business model with the right jurisdiction and authority and collaboration with legal experts who
truly understand the local landscape.In the UAE, cutting corners is not tolerated
Founders who plan carefully and engage proactively with regulators are rewarded with speed, clarity and access to a highly supportive
be taken as legal or investment advice
