The sheikh said the regulator can have authority in dubai's special development zones and free zones with the exception of the Dubai International money Centre.
Sheikh Mohammed bin Rashid Al Maktoum, prime minister and ruler of the United Arab Emirates, has announced a replacement law on virtual assets similarly because the institution of a crypto regulator.
In a Wednesday announcement, sheikh Al Maktoum aforementioned he had issued a law making a legal framework for crypto within the Emirate of urban center aimed toward protective investors and “designing much-warranted international standards” for trade governance. additionally, the ruler said a fresh fashioned urban center Virtual plus administrative unit, or VARA, would have social control powers within the Emirate’s special development and free zones with the exception of the urban center International monetary Centre.
"Approving the virtual plus law and establishing the Dubai Virtual plus regulatory authority could be a important step that establishes the UAE’s position during this sector, a step that aims to help the arena to grow and defend investors," said the sheikh.
According to sheikh Al Maktoum, the crypto law would require urban center residents to register with vara prior to engaging in crypto-related activities. Businesses dealing in virtual quality activities should additionally establish a presence in Dubai. These activities embrace in operation a crypto exchange, conducting transfers of cryptocurrencies, and alternative services related to providing and commercialism tokens.
The announcement failed to state that cryptocurrencies would fall into the law however else that linear unit would classify and specify the kinds of virtual assets additionally to setting rules and controls. Anyone found violating the new law might face fines or have their business allow suspended or canceled. The board of administrators of the dubai World Trade Centre can verify the course of action once violations occur.
( Turner Wright, Cointelegraph, 2022 )