Dubai's crypto regulator has given virtual asset service providers (VASPs) until 19 June to comply with a new set of rules designed to improve transparency and oversight. VARA released Version 2.0 of its Rulebooks, adding stricter oversight and updated standards across key activities.

The changes include stricter requirements for margin trading, clearer definitions for terms such as 'client assets' and 'qualified custodians,' and consistent risk management obligations.

VARA aims to reduce regulatory uncertainty and make it easier for companies to meet cross-functional compliance.

The rules also introduce tougher conditions for token distribution and new restrictions on marketing, particularly for retail-facing offers. All licensed crypto firms must complete the transition within the 30-day window to avoid penalties.

Would you like to learn more about AI, tech and digital diplomacy? If so,ask our Diplochatbot!