Supporting the entire Dubai virtual asset ecosystem is a high priority for VARA as it plays a crucial role in ensuring economic stability and fostering growth.
To facilitate a smooth transition for firms carrying out VA activities prior to February 2023 (Legacy VA Operators), VARA has extended an invitation to all such firms to apply for the Dubai Legacy Programme. This program enables organisations to seamlessly transition to VARA's regulatory framework. In collaboration with the Department of Economy and Tourism and the Free Zone Council, VARA has conducted various training sessions and awareness programs in this regard.
As part of the regulatory process, VARA has requested all Legacy VA Operators in Dubai to register by completing an Initial Disclosure Questionnaire (IDQ). VASPs that receive an Application Acknowledgment Notice (AAN) can then proceed to obtain the Legacy Operating Permit (LOP) or No Objection Certification (NOC).
The Legacy Operating Permit offers VASPs the opportunity to transition to the full VA regulatory regime over a limited period of time, assuming they meet the baseline regulatory requirements. It comes with additional benefits, including up to a 50% discount on licensing fees and reduced capital requirements. This permit is valid for 12 months, allowing VASPs the necessary time to develop and comply with full licensing and supervision requirements.
For VASPs who missed the deadline to apply for an AAN, immediate application for the Legacy Operating Permit (LOP) is advised to avoid any potential disciplinary actions. VARA remains committed to facilitating a smooth and supportive regulatory transition for all Legacy VA Operators in Dubai.
Legacy Operating Permit
- The permit allows the VASPs to transition to the full VA regulatory regime in a gradual manner and provides relief in terms of discounted licencing fees and capital requirements,
- You may apply through Department of Economy and Tourism, or your preferred Free Zone as your commercial licensor.
