Dubai’s digital asset watchdog has instructed several entities associated with the crypto exchange KuCoin to stop conducting virtual asset services in the emirate without proper authorization. The directive was issued by the Virtual Assets Regulatory Authority (VARA), which oversees cryptocurrency regulation in Dubai.
According to the regulator, companies including Phoenixfin Pte Ltd, MEK Global Limited, Peken Global Limited and KuCoin Exchange EU GmbH were allegedly promoting or offering crypto-related services to residents without holding the required regulatory approvals.
VARA stated that the exchange does not currently possess a license to provide virtual asset services within or from Dubai. As a result, the involved entities were ordered to immediately cease any activities that could violate local digital asset laws.
Dubai Crypto Licensing Rules and Investor Warning
Under Dubai’s regulatory framework, all virtual asset service providers must obtain authorization before operating in the region. The rules are outlined in Dubai Law No. 4 of 2022 and Cabinet Resolution No. 111/2022, which require strict licensing for companies dealing with digital assets.
The regulator also warned that promotional campaigns or marketing related to KuCoin have not been approved. Residents were advised to verify crypto companies through VARA’s official register before engaging with any platform offering digital asset services.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.