The Dubai Virtual Assets Regulatory Authority (VARA) has reported nearly AED2.5tn ($681bn) in virtual asset transaction volumes across regulated entities this year, marking a major milestone in the emirate’s ambition to become a global hub for the Virtual Asset Economy.
The update reflects Dubai’s ongoing effort to build the world’s most secure and progressive jurisdiction for virtual assets, a vision directly aligned with the mandate issued in 2022 by Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai.
Since the launch of the first-of-its-kind regulatory regime, VARA has prioritised uncompromised investor protection and market stability as core levers for credibility, accountability and sustainable sector growth.
Virtual assets in Dubai
Its proactive approach has attracted global institutional interest and leading industry innovators, supported by an agile regulatory framework and coordinated enforcement across all relevant authorities.
The Authority said its consistent supervisory monitoring, zero-tolerance stance toward non-compliant operations and synchronised delivery between Regulatory, Law Enforcement and Judicial bodies are designed to ensure every operator is accountable for the risk it introduces into the marketplace.
VARA noted that these achievements reinforce Dubai’s commitment to cultivating a regulatory environment capable of housing the global hub of the Future Economy.
Its balanced supervisory system aims to boost transparency, safeguard investors and establish a legislative infrastructure that supports expansion of the digital economy — securing consumer interests and bolstering investor confidence.
Financial frameworks
As traditional finance (TradFi) and decentralised finance (DeFi) continue to converge, Dubai remains committed to evolving its regulatory framework and encouraging responsible global innovation that enables more inclusive economic participation.
Deepa Raja Carbon, Managing Director and Vice Chair, said: “As global finance becomes increasingly borderless and decentralised, Dubai has followed a proactive approach to driving the leadership of the new economy and financial sectors.
“Under this approach, VARA’s regulatory priority has been to create a passportable model anchored on uncompromised safety, so that Dubai becomes the future-ready nexus for the Virtual Asset economy.
“The thorough and rigorous nature of these actions are a clear signal that our VA market operates on ‘trust’, where compliance and accountability are the essential currency for any entity seeking to participate.”
VARA introduced its Marketing Regulations as the first step in setting clear industry engagement rules.
Structured consumer education and ecosystem alignment followed, ensuring all parties understood governance expectations. Its prompt and fair enforcement programme has reduced complaints, curbed unlicensed activity and reinforced market credibility.
Local partners
The Authority works closely with federal and local entities including the:
- Securities and Commodities Authority
- Central Bank of the UAE
- National Committee for Anti-Money Laundering and Combating the Financing of Terrorism
- Economic Security Centre of Dubai
- UAE Financial Intelligence Unit
- Dubai Economy and Tourism
- Dubai Police
- Dubai Electronic Security Centre
- Telecommunications and Digital Government Regulatory Authority
- Public Prosecutorial and Legal Departments
- All relevant Dubai Economic Free Zones
These collaborations ensure transparency and effective coordination of enforcement actions.
VARA publishes its concluded enforcement decisions online, while collections and further enforcement measures — including asset recoveries — are referred to authorised judicial representatives.
Parallel to the regulatory progress, Dubai’s virtual asset market has seen robust and controlled expansion.
Alternative assets in numbers
Assets under management exceeded AED9.6bn ($2.62bn) in 2025. Dubai is home to more than 40 licensed virtual asset service providers (VASPs) and over 600 registered service providers.
The Authority is currently processing more than 250 licence applications and has welcomed 300 global first-time entrants. More than 3 million investors and traders are now serviced from Dubai.
Matthew White, CEO said, “By combining clear regulatory frameworks and encouraging responsible market conduct, VARA is delivering a regulatory environment that fosters innovation while protecting the public interest.
“As Dubai’s virtual asset market continues to mature, VARA remains committed to building a secure, sustainable, and globally competitive ecosystem that cements Dubai’s position as a trusted hub for the New Economy.”
