Set up your blockchain business in Dubai and the UAE with Retyn experts

Virtual Assets Regulatory Authority (VARA) is the primary regulatory body responsible for all virtual asset regulations in the Emirate of Dubai, except within the jurisdiction of Dubai International Financial Centre (DIFC). VARA has introduced regulations and rulebooks in order to oversee the provision of permissible activities and services to customers and investors. Free zones, such as DMCC and DSO apply VARA’s rulebooks. The Abu Dhabi Global Market (ADGM) and the DIFC maintain their own framework for blockchain projects.

Capital requirements for a licence set by VARA start from AED 100,000 for advisory services and can go up to AED 1,500,000 or more for exchange services, as mentioned in VA Company Rulebook. Free zones are compatible with VARA's paid-up capital threshold for each activity. You are up for the leanest and compliant capital figure for your blockchain projects with Retyn.

Yes, but thorough due diligence is necessary. Banks will ask for AML/KYC policies, chain-analysis wallet reports and audited token flows, among many others. Retyn has well-established partnerships with the UAE local banks and fintechs that makes it easier to utilize their established frameworks for approved Virtual Asset Service Provider (VASPs) and blockchain projects.

It depends. Token offerings are basically evaluated by UAE regulators on the basis of their legal classifications and how they are marketed or targeted. Tokens are treated as either securities or commodities that can trigger regulatory engagement for UAE-facing Initial DEX Offering (IDO), Initial Exchange Offering (IEO), exchange listings or promotional airdrops. A white paper, risk disclosure and token-classification memo must be filed depending on the structure. And, stablecoins will also need external reserve attestations. Token class analysis and submission queuing are fully handled by Retyn.

The timeframe for getting a VASP licence more often depends on the complexity of the business line, the quality of submitted applications and VARA’s approval duration. Some regulated activities, say broker-dealer services, exchange, custody, token issuance or investment and portfolio management might go through certain stages like penetration tests, smart-contract audit sign-offs and fit-and-proper interviews. All these processes will be managed well by Retyn so you get the required licences as quickly as possible.

Yes, UAE permits full foreign ownership for blockchain ventures in crypto-friendly free zones (such as DMCC, DIFC, DWTC and others). Recent legal reforms in Commercial Companies Law enables mainland VASP structures to also hold 100% equity via a UAE holding company or they may appoint a national service agent.

Among VARA’s licensing prerequisites, submitting Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) documentation stands first. Included in the list are Customer Due Diligence (CDD) or strong Know Your Customer (KYC) procedures, Financial Action Task Force’s (FATF) Travel Rule for virtual asset transfers, Sanctions Screening and Suspicious Transaction Report (STR). Retyn develops and delivers pre-templated policy packs and syncs them directly to your on-chain analytics provider.