VARA Vice Chair highlights the success of regulatory collaboration in Dubai

Regulatory body VARA releases comprehensive framework for virtual asset service providers

The Virtual Assets Regulatory Authority (VARA) has emerged as a trailblazer in the world of crypto regulation, with the release of its comprehensive framework for virtual asset service providers (VASPs). Established in March 2022, VARA aims to position Dubai as a leading hub for virtual assets and related services.

Speed, collaboration, and dedication to quality define VARA's approach

In an interview with Cointelegraph, Deepa Raja Carbon, Managing Director and Vice Chair at VARA, highlighted the authority's unique approach to virtual assets. Raja emphasized VARA's agility, collaborative ethos, and ability to respond swiftly to market needs as key factors in its success. According to Raja, VARA seeks to find the highest point of convergence as a universal threshold, elevating and scaling the entire ecosystem.

Challenges in establishing virtual asset frameworks

Raja acknowledged the challenges faced by VARA in crafting guidelines for a nascent industry like virtual assets. The regulatory body extensively studied existing frameworks and learned from the experiences of other regulators. VARA adopted a consultative and collaborative approach, engaging with industry leaders, innovators, peer regulators, legislators, and the public to ensure comprehensive and market-oriented guidelines.

Dubai aims to become a global hot spot for virtual asset businesses

VARA's crypto regulations are part of Dubai's broader strategy to attract virtual asset businesses. As countries in the East, including Hong Kong, focus on crypto regulation, Dubai aims to position itself as a leading destination for the industry. The unified and fungible framework crafted by VARA in collaboration with established entities in Dubai is expected to boost the city's standing in the global crypto market.