Dubai Unveils Cryptocurrency Exchange Derivatives New Regulatory Framework

BlockBeats News, March 31st - According to Cointelegraph, the Dubai Virtual Asset Regulatory Authority (VARA) has introduced a new regulatory framework for cryptocurrency exchange-traded derivatives (ETDs), outlining how licensed crypto companies in Dubai can offer such products.

This framework is detailed in VARA's "Trading Platform Services Rulebook" version 2.1, covering requirements such as customer suitability, leverage and margin controls, asset segregation, disclosure standards, and regulatory intervention powers.

VARA stated that this framework applies to licensed Virtual Asset Service Providers (VASPs) offering trading platform services in Dubai. This update establishes a more formal regulatory barrier in the high-risk area of the Dubai crypto market and extends beyond spot trading when broadening the emirate's trading rules.