Dubai and UAE move to align crypto frameworks under new partnership

Key Points

1. The UAE's SCA and VARA are collaborating to align crypto regulations, formalizing a partnership announced in September 2023.

2. Licensing reciprocity between SCA and VARA does not include automatic 'passporting' of licenses, requiring separate assessments for operational readiness and AML/CFT compliance.

3. A Legislative Review Committee has been formed to evaluate and refine crypto regulations, aiming to position the UAE as a leader in crypto governance.

4. The partnership strengthens the UAE's global appeal as an innovation-first jurisdiction with unified virtual asset oversight.

5. The collaboration is part of a broader UAE effort to enhance national-level regulatory coordination, with future collaborations remaining a strategic priority.