As the digital finance landscape continues to evolve, regulatory bodies around the world are stepping up to ensure that virtual assets are managed safely and transparently. In this context, Dubai stands out as a pioneering hub for innovation in virtual assets.
The Virtual Assets Regulatory Authority (VARA) has taken significant strides to create a robust regulatory framework for Virtual Asset Service Providers (VASPs) according to reports.
Dubai’s VARA Announces New Marketing for Digital Assets
The VARA has unveiled updated marketing regulations aimed at strengthening the regulatory framework for VASPs in Dubai. These new rules, which come into effect on October 1st, 2024, are designed to enhance the transparency and integrity of marketing activities within the virtual assets sector.
The Marketing Regulations for Virtual Assets and Related Activities 2024 focus on ensuring the accuracy of marketing communications and safeguarding consumer interests.
Regardless of their level of VARA licensing, all organisations engaged in the selling of virtual assets are subject to these restrictions. Preventing false information and making sure customers are informed are the main priorities.
VARA has released a Marketing Guidance Document that provides VASPs with best practices and clear instructions in addition to the regulation update. This extensive resource covers all the important subjects, including disclosure laws, ethical marketing practices, and appropriate wording for marketing communications.
It seeks to give VASPs the resources they require to conduct business ethically in Dubai’s quickly expanding virtual asset market.
VARA’s Commitment to Growth and Transparency
Matthew White, CEO of VARA, emphasized the organization’s dedication to fostering a balanced regulatory environment that supports both consumer protection and sector growth.
He stated, “As the world’s first independent regulator for virtual assets, VARA is committed to maintaining Dubai’s leadership in digital finance. By providing clear guidance, we aim to foster greater trust and transparency in the market.”
Founded in March 2022 under Law No. 4, VARA is responsible for managing virtual assets and associated operations throughout Dubai, except the Dubai International Financial Centre.
The authority’s job is to protect consumers and foster innovation in the virtual assets industry by maintaining a safe and regulated environment.