500000 +
Happy Customer
500 +
CA & Lawyers
50 +
OfficesIf you are a virtual asset business looking to operate in one of the world’s fastest-growing digital economies, obtaining a VARA license for VASP in Dubai is mandatory. It is an official authorisation issued by the Dubai Virtual Asset Regulatory Authority (VARA) that permits businesses to conduct regulated virtual asset activities in Dubai.
The grant of the VASP license acts as robust regulatory approval designed to protect investors, enhance market integrity, and ensure compliance with Dubai’s virtual asset law (Law No. 4 of 2022). Connect Enterslice to simplify your VARA registration journey and ensure compliant operations in Dubai’s regulated virtual asset market.
Authorizes Operating as a VARA-Licensed VASP
Offers Regulated Services for Virtual Asset Management
Compliance with FATF-Aligned AML/CFT Requirements
Dubai’s AED 2.5 Trillion Virtual Asset Economy
Contributes about 0.5% to Dubai’s GDP
User Adoption to Reach 33.48% by 2026
Let our experts at Enterslice help you obtain your VARA license for VASP in Dubai with worry-free documentation, compliance support, and end-to-end regulatory assistance.
The eight distinct virtual asset (VA) activities permitted or identified under the VARA license for VASP in Dubai are as discussed below:
The virtual asset advisory services include providing expert advice and client recommendations on transactions related to virtual asset investments and strategies.
The virtual asset broker-dealer services facilitate the buying and selling of virtual assets on behalf of clients, acting as intermediaries in VA transactions.
Virtual asset custody services offer storage and safekeeping solutions for clients' virtual assets in compliance with VARA’s custody standards.
Virtual asset exchange services operate as marketplaces for various virtual assets trading platforms that enable buying, selling, or swapping of virtual assets.
Virtual asset lending and borrowing services enable clients to lend and borrow virtual assets, thereby helping users to maximise the utility of their holdings.
VA management and investment services help firms manage virtual asset investment portfolios for both retail and institutional investors.
Virtual asset transfer and settlement services ensure the secure, efficient transfer and settlement of virtual asset transactions.
NFT marketplace services include operating platforms for buying, selling, or trading non-fungible tokens (NFTs), which may require specific licenses depending on the activities they conduct.
The key objectives of issuing a VARA license for VASP in Dubai are as discussed below:
The advantages of getting a VARA license for VASP in Dubai are as discussed below:
Obtaining a VARA license for VASP in Dubai provides legal authorisation to operate within Dubai, ensuring compliance with local laws and regulations governing virtual assets.
Obtaining a VARA license for VASP in Dubai, which signifies adherence to established regulatory standards, enhances credibility and trust among investors and clients.
Obtaining a VARA license for a VASP in Dubai provides access to a global hub for blockchain and cryptocurrency innovation in the digital marketplace.
Obtaining a VARA license helps VASPs to scale operations across free zones and the Dubai mainland with clear regulatory guidance and structured approvals.
Obtaining a VARA license enhances cybersecurity, technology governance, and operational controls for secure and compliant service delivery in Dubai.
Obtaining a VARA license increases the likelihood of accessing banking, payment controls, and compliance service providers that require regulatory approval.
The process to apply for a VASP license in Dubai requires compliance with the following steps, as discussed below:
Initially, the entities must complete and submit an initial disclosure questionnaire (IDQ) to Dubai Economy and Tourism (DET) for mainland entities, or to the relevant free zone authority for free zone entities.
The next step requires payment of at least 50% of the total license application fee to begin the application review process.
Once approved, the entities receive an initial approval to incorporate (ATI), which allows them to establish their company and begin operational setup in Dubai legally.
Upon receiving the initial approval, the entities must ensure compliance with the entire legal and operational setup for physical office, business incorporation, and team onboarding.
Next, the entities must prepare and submit a detailed application, including a business plan, compliance policies, financial statements, and information about key personnel, to the VARA.
In the next step, the entities must engage with VARA’s review process, during which they must respond to queries or additional clarifications when requested.
Next, the entities must prepare and submit a detailed application, including a business plan, compliance policies, financial statements, and information about key personnel, to the VARA.
Upon payment, VARA issues the final VASP license, thereby granting permission to carry out the regulated virtual asset activities in Dubai formally.
Apply for VARA VASP license online in Dubai with our seasoned consultants, trusted by 500+ web3 founders.
Getting a VARA license for VASP in Dubai generally takes 4 to 6 months, depending on compliance preparation, application submission, and VARA’s review and approval.
The process, which involves initial setup and submission to IDQ, usually takes around 2 to 3 weeks.
It takes around 4 to 8 weeks to prepare AML/CFT policies, technology & cybersecurity frameworks, key personnel appointments, and capital adequacy proof.
It takes around 2 to 4 weeks to conduct a preliminary review before issuing the initial approval for operational setup in Dubai.
It takes about 3 to 6 weeks to file the VASP license application, along with the business plan and system architecture documentation.
It takes 3 to 8 weeks to seek clarifications and request additional documents, depending on how quickly the applicant responds.
Once all requirements are met, it takes about 1 to 2 weeks for VARA to issue the final license authorising the regulation of business operations in Dubai.
The list of documents needed for the VARA & VASPs licensing process in Dubai is as follows:
Initial Disclosure Questionnaire (IDQ)
Company incorporation documents
Detailed business plan
Passport copies of all shareholders and directors
Proof of fit and proper status of key personnel
Copy of reference letter from the bank in Dubai
Police clearance certificate for all relevant individuals
Proof of legal entity in Dubai or a relevant free zone
Plan for timeline and capacity
VARA’s compliance and risk management rulebook
Any other supporting documents (if required)
Struggling with VARA documentation? Let Enterslice make it effortless for you.
In Dubai, VARA classifies investors based on their knowledge, competency, financial standing, and expertise. The status of investors in Dubai must also be periodically verified to ensure compliance with VARA regulations. According to VARA regulations, the investors are classified into three broad categories, as discussed below:
Retail investors include individuals or companies that do not meet the criteria for classification as qualified or institutional investors.
This classification includes individuals or legal entities that meet certain financial thresholds and demonstrate relevant knowledge about virtual assets.
These are entities regulated by competent financial authorities, such as banks or investment firms holding expertise in virtual assets.
Have a look at the list of the following paid-up capital required for obtaining a VARA license for VASP in Dubai:
Have a look at the essential VARA license for VASP in Dubai requirements:
What are the Key requirements for the VARA License for VASP in Dubai?
Have a look at the regulatory compliance obligations by VARA for VASP license in Dubai-
The key differences between CASP and VASP that meet the EU’s detailed requirements are as discussed below:
| Aspect | CASP | VASP |
|---|---|---|
| Full Form | Crypto Asset Service Provider | Virtual Asset Service Provider |
| Regulatory Framework | European Union’s MiCA Regulation | International Standards from the Financial Action Task Force (FATF) |
| Scope | The scope extends across the entire European Union | Allows operation only within one country |
| Licensing | A single, standardised license with comprehensive requirements across the EU | Varies by country, with national laws determining the specific licensing and compliance standards |
| Services | Includes all traditional VASP activities but expands regulation to encompass investor protections, consumer safeguards, and investment-related services. | Primarily focuses on AML and CFT requirements for activities like exchange, custody, and transfer of virtual assets. |
Obtaining a VARA license for VASP in Dubai involves complex assessment, compliance audits, and a detailed framework submission. Enterslice helps simplify the entire process with expert guidance for virtual asset service providers. Here are the key reasons to choose Enterslice for securing your VARA license:
The VARA license fees for VASP in Dubai range from AED 40,000 for services such as advisory and settlement to AED 100,000 for services such as broker-dealer, custody, and exchange.
The process to apply for a VASP license in Dubai requires compliance with the following steps, as discussed below:
It takes about 4 to 6 months to get a VARA license for VASP in Dubai. However, the timeframe varies depending on the business complexity and the quality of the application.
Yes, a license from the Dubai Virtual Asset Regulatory Authority is required to operate as a virtual asset business in Dubai.
Any business that handles virtual assets, such as cryptocurrencies, needs a VASP license, especially if it engages in activities like exchanging, storing, managing, or transferring digital assets.
VASP, which stands for Virtual Asset Service Provider, is licensed and regulated by the Dubai Virtual Asset Regulatory Authority. It ensures the conduct of virtual asset activities, including cryptocurrency custody, brokerage, advisory, and lending, in Dubai.
No, VARA is not used in land surveying in Dubai. However, it is an independent regulatory authority responsible for overseeing and licensing activities related to virtual assets such as cryptocurrencies, non-fungible tokens, and blockchain-based technologies.
CASP, which stands for Crypto Asset Service Provider, is a European Union regulatory framework under the MiCA Regulation for crypto services that grants a single license to operate across all EU member states. However, VASP, which stands for Virtual Asset Service Provider, has a broader definition of any crypto service provider.
Category I virtual asset issuance refers to the issuance of specific types of virtual assets that require authorisation and licensing from VARA. Furthermore, the category includes the issuance of Fiat-Referenced Virtual Assets (FRVAs) designed to maintain stable value relative to one or more fiat currencies.
Yes, the Virtual Assets Regulatory Authority (VARA) requires the appointment of at least 2 responsible individuals who are either UAE residents or hold a UAE passport in Dubai. Moreover, the responsible individuals must also comply with the regulator's fit-and-proper criteria.
Yes, VARA mandates that entities either lease office space or buy a property for approximately 80 square feet per visa, unless the space is in a business centre.
Some of the common reasons for establishing a virtual asset service provider (VASP) in Dubai are listed below:
-- Testimonials
“Enterslice handled my entire Dubai company registration process. They explained each step clearly and kept me updated throughout. I appreciated how organized and responsive their team was. It saved me a lot of time and helped me focus on planning my business operations in Dubai”
Verified Customer
“I reached out to Enterslice for setting up my business in Dubai, and they took care of everything from documentation to approvals. The process was well-managed, and they stayed in touch regularly. I was able to get my license and start quickly without confusion.”
Verified Customer
“I chose Enterslice based on a recommendation, and I’m glad I did. They explained all the company formation options in detail and helped me pick the right setup. Their process was structured and professional, and I always knew what stage we were at.”
Verified Customer
“The team at Enterslice guided me through the entire Dubai business setup process. They were clear about the requirements, timelines, and costs right from the beginning. I liked how they handled all the coordination with local authorities while I focused on my business planning.”
Verified Customer
“Excellent customer support and clear communication throughout the company formation process. I highly recommend Enterslice.”
Verified Customer
“Enterslice made my company registration in Dubai extremely smooth. Their team explained every step clearly and handled all the paperwork without any delays. I really appreciated their professionalism and quick responses. A very reliable service!”
Verified Customer
“I had a great experience with Enterslice for my Dubai business setup. They guided me through the entire process and took care of all the documentation. Their team is knowledgeable and always available to assist. Highly satisfied with their service!”
Verified Customer
“Enterslice provided excellent support throughout my company registration in Dubai. They made the process simple and stress-free with their expertise and timely updates. I would definitely recommend them to anyone starting a business here.”
Verified Customer
“Enterslice provided excellent support throughout my company registration in Dubai. They made the process simple and stress-free with their expertise and timely updates. I would definitely recommend them to anyone starting a business here.”
Verified Customer
“My experience with Enterslice was outstanding. They took care of the entire Dubai company registration process and provided clear guidance at each stage. Their customer service is top-notch, and the whole process was completed without any hassle.”
Verified Customer
Stay updated with all the latest legal updates.
Just enter your email address and subscribe for free!
(+1) 6292766228