t has imposed financial penalties on 19 firms for conducting unlicensed virtual asset activities and breaching its marketing regulations, marking a significant enforcement action in the emirate’s evolving digital asset framework.
According to VARA, the sanctions include cease-and-desist orders and monetary fines ranging from AED 100,000 to AED 600,000, depending on the severity and scope of each violation.
The regulator’s Enforcement Division said it continues to proactively identify and investigate entities operating without the required authorisation, underscoring its zero-tolerance stance toward non-compliant operators.
The announcement serves as a reminder to investors, consumers, and institutions of the legal and reputational risks associated with engaging unlicensed virtual asset service providers. Under Dubai’s regulatory framework, only entities licensed by VARA are permitted to offer or promote virtual asset services within or from the jurisdiction.
“Enforcement is a critical component of maintaining trust and stability in Dubai’s virtual asset ecosystem,” the Regulatory Affairs and Enforcement Division stated. “These actions reinforce VARA’s mandate to ensure that only firms meeting the highest standards of compliance and governance are permitted to operate. Unlicensed activity and unauthorised marketing will not be tolerated.”
All sanctioned firms have been ordered to halt operations immediately and cease any further promotion of unlicensed virtual asset services.
VARA emphasised that its enforcement actions are aimed at safeguarding investors, preserving market integrity, and promoting transparency in line with Dubai’s commitment to responsible innovation.
The authority reiterated its focus on developing a regulated, transparent, and resilient virtual asset marketplace built on global best practices.
Its licensing framework, introduced as part of Dubai’s broader digital economy strategy, seeks to balance technological innovation with strong governance standards and investor protections.
VARA’s latest enforcement action signals a tightening of compliance expectations as Dubai cements its role as a leading, well-regulated hub for virtual asset activity in the region.