Dubai VARA license
VARA is the world's first dedicated virtual assets regulator. A Dubai license provides one of the most credible and business-friendly regulatory frameworks available for crypto businesses operating globally.
What this enables
VARA-regulated virtual asset activities
A single entity can hold licenses for multiple activities. Each activity beyond the first is charged at 50% of the standard application fee.
Whis this is for
This structure is suited to:
Crypto exchanges seeking a globally recognised, well-regulated jurisdiction
Custodians, wallet providers, and institutional VASPs
OTC desks and crypto brokers
Crypto funds and investment managers
Token issuance platforms and Web3 infrastructure businesses
Businesses scaling internationally that need a credible license as a regulatory foundation
This is not the right fit if:
You require EU regulatory access or EEA passporting — a Latvian CASP registration is more appropriate
You are not prepared to commit the required capital deposit (AED 400,000 to AED 600,000) and ring-fence it as a regulatory safeguard
Your operations will be based in the DIFC, which falls outside VARA's jurisdiction
Registration process
Approximately 1 to 2 months
Approximately 1 to 2 months
Approximately 3 to 6 months
Included in scope
Not included
Multi-Activity Structure
Costs and regulatory requirements
Application fees (per activity)
Annual supervision fees (per activity, per year)
Capital deposit
Example — exchange and custody combined
Frequently asked questions
What is the capital deposit and how does it work?
VARA requires a separate regulatory capital deposit of AED 400,000 (third-party custody model) or AED 600,000 (own custody model). This is separate from incorporation capital, ring-fenced in a UAE corporate bank account, and cannot be used for operations. VARA does not hold the funds but expects them to remain untouched as a financial safeguard. The deposit is placed after initial approval.
Is a local UAE director or shareholder required?
No. VARA does not require a local UAE national or resident as a UBO or director. An in-house compliance officer is required and cannot be outsourced. The compliance officer can also act as the MLRO.
Can I apply for multiple activities under one license?
Yes. A single entity can hold licenses for multiple activities. Each activity beyond the first is charged at 50% of the standard application fee. Annual supervision fees apply per activity.
Does a VARA license cover the DIFC?
No. VARA governs virtual asset activities across Dubai Mainland and most free zones, including DMCC, DWTCA, and DAFZA. The DIFC operates under a separate regulatory framework and is not covered by VARA.
What are the ongoing compliance obligations after the license is granted?
Post-licensing obligations include annual supervision fees per activity, AML/CTF compliance, cybersecurity requirements, real-time reporting obligations, and independent audit functions. The compliance officer must remain in-house and cannot be outsourced.
Understand your regulatory path before starting
The initial call covers your business model, the appropriate license categories, and whether the VARA framework is the right regulatory path for your situation.
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