{"id":129528,"date":"2025-05-19T10:15:30","date_gmt":"2025-05-19T10:15:30","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=129528"},"modified":"2025-05-19T10:15:30","modified_gmt":"2025-05-19T10:15:30","slug":"dubai-regulator-sets-compliance-deadline-for-updated-crypto-rules","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=129528","title":{"rendered":"Dubai regulator sets compliance deadline for updated crypto rules"},"content":{"rendered":"<p>Source: Cointelegraph.com NewsDubai\u2019s crypto regulator has given licensed digital asset companies until June                19 to comply with its updated activity-based Rulebooks to enhance market integrity and risk oversight.\u00a0<br \/>\nOn May 19, Dubai\u2019s Virtual Assets Regulatory Authority (VARA) announced that it had released Version 2.0 of the Rulebooks.\u00a0<br \/>\nThe regulator said it had strengthened controls around margin trading and token distribution services, harmonised compliance requirements across all licensed activities and given clearer definitions for collateral wallet arrangements.\u00a0<br \/>\nVARA\u2019s team will engage with licensed entities and expects the companies to comply with the updated rules after a 30-day transition period.<br \/>\n\u201cIn line with global regulatory best practices, a 30-day transition period has been granted to all impacted virtual asset service providers [VASPs], with full compliance required by 19 June 2025,\u201d VARA wrote.\u00a0\u00a0<br \/>\nVARA enhances supervisory mechanisms<br \/>\nVARA highlighted that it had enhanced supervisory mechanisms across several regulated activities. This includes advisory, broker-dealer, custody, exchange, lending and borrowing, virtual asset (VA) management and investment, and VA transfer and settlement services.\u00a0<br \/>\nA VARA spokesperson told Cointelegraph that the updates will bring consistency across all activity-based rules defining core operational terms. The spokesperson gave examples of terms like \u201cclient assets,\u201d \u201cqualified custodians,\u201d and \u201ccollateral requirements\u201d as some of the terms more consistently defined in the update.\u00a0\u00a0<br \/>\nThe update also aligned risk management and disclosure obligations, where activities overlap, in areas like brokerage, custody and exchange.<br \/>\n\u201cThe aim was to reduce ambiguity and help VASPs navigate cross-functional compliance more easily,\u201d VARA told Cointelegraph.\u00a0<br \/>\nRelated: Dubai gov\u2019t agencies to link real estate registry with property tokenization<br \/>\nDubai regulator tightens leverage thresholds for margin trading<br \/>\nAs for margin trading, the VARA spokesperson said they tightened leverage thresholds, mandated clearer collateralisation standards, and enhanced the monitoring obligations for VASPs offering this feature.\u00a0<br \/>\nMargin trading allows traders to control large positions with smaller amounts of capital. It amplifies both gains and losses. Tightening the leverage traders use helps limit the risks of widespread liquidations in a market downturn.\u00a0<br \/>\nThe crypto regulator introduced a new section on token distribution that sets out licensing prerequisites, investor protections and marketing restrictions. The spokesperson emphasized the marketing restrictions, especially for \u201cretail-facing offers.\u201d\u00a0<br \/>\n\u201cIt\u2019s about aligning with global conduct expectations and closing observed regulatory gaps,\u201d the VARA spokesperson said.\u00a0<br \/>\nMagazine: Danger signs for Bitcoin as retail abandons it to institutions: Sky Wee<a href=\"https:\/\/cointelegraph.com\/news\/dubai-crypto-regulator-updates-rulebooks-tightens-margin-trading?utm_source=rss_feed&amp;utm_medium=rss&amp;utm_campaign=rss_partner_inbound\" target=\"_blank\" class=\"feedzy-rss-link-icon\" rel=\"noopener\">Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"<p>Source: Cointelegraph.com NewsDubai\u2019s crypto regulator has given licensed digital asset companies until June 19 to comply with its updated activity-based Rulebooks to enhance market integrity and risk oversight.\u00a0 On May&hellip; <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/129528"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=129528"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/129528\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=129528"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=129528"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=129528"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}