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United Arab Emirates

Middle East · Comprehensive

Global benchmark for activity-based, risk-tiered VASP regulation.

DAI Methodology v2.1 Last updated Q2 2026

DAI Readiness Score™

88.0

out of 100

Regulatory status

Comprehensive

Primary regulator

VARA (Dubai) · FSRA (ADGM) · DFSA (DIFC) · SCA (Federal)

Licensing requirements

Multi-tier: VARA Rulebooks 2023; ADGM Virtual Asset Framework; DFSA Crypto Token regime.

AML requirements

Federal Decree-Law 20/2018; VARA Compliance & Risk Management Rulebook.

Travel Rule status

Implemented — VARA Rulebook mandates Travel Rule with AED 3,500 threshold.

Tax treatment

Corporate Tax (9%) applies; VAT exemption for virtual asset transfers (Nov 2024).

Consumer protection

VARA Marketing Regulations; mandatory risk disclosures and complaint handling.

Key legislation

2022

Dubai Law 4/2022

Establishes VARA as dedicated virtual asset regulator.

2023

VARA Rulebooks

Seven activity-based rulebooks (custody, exchange, broker-dealer, etc.).

Recent developments

2026-04-15

VARA fines Desert Bloom AED 14m

Travel Rule failures across cross-border counterparties.

2026-02-11

DIFC tokenisation regime live

DFSA permits tokenised investment products under updated regime.

Professional disclaimerGlobal Asset Guide intelligence is provided for informational purposes only and does not constitute legal, tax, investment, or compliance advice. Regulatory positions change frequently; verify all material with primary sources and qualified counsel before relying on it for licensing, supervisory, or compliance decisions.