Our Clients
Crypto License in Dubai
-
Advisory Services
-
Broker-Dealer Services
-
Custody Services
-
Exchange Services
-
Lending and Borrowing Services
-
VA Management and Investment Services
-
VA Transfer and Settlement Services
VARA (Virtual Assets Regulatory Authority), found at www.vara.ae, is the governing body responsible for overseeing and regulating the distribution, utilization, and trading of virtual assets originating from and within the Emirate of Dubai.
Government Fees for Dubai Crypto License
VA Activity | Licence Application Fee [ VA Activity only] | Licence Extension Fee | Annual Supervision Fee | Share Capital |
|---|---|---|---|---|
VA Transfer and Settlement Services | AED 40,000 10,900$ | AED 20,000 5,450$ | AED 80,000 21,800$ | The higher of [i] AED 500,000; or [ii] 25% of fixed annual overheads. |
Advisory Services | AED 40,000 10,900$ | AED 20,000 5,450$ | AED 80,000 21,800$ | AED 100,000. |
Broker-Dealer Services | AED 100,000 27,250$ | AED 50,000 27,250$ | AED 200,000 54,500$ | Broker-Dealer Services using a VASP Licensed by VARA to provide Custody Services or otherwise approved during the licensing process: the higher of [i] AED 400,000; or [ii] 15% of fixed annual overheads. In all other instances, the higher of [i] AED 600,000; or [ii] 25% of fixed annual overheads. |
Custody Services | AED 100,000 27,250$ | AED 50,000 27,250$ | AED 200,000 54,500$ | The higher of [i] AED 600,000; or [ii] 25% of fixed annual overheads. |
Exchange Services | AED 100,000 27,250$ | AED 50,000 27,250$ | AED 200,000 54,500$ | Exchange Services using a VASP Licensed by VARA to provide Custody Services or otherwise approved during the licensing process: the higher of [i] AED 800,000; or [ii] 15% of fixed annual overheads. In all other instances, the higher of [i] AED 1,500,000; or [ii] 25% of fixed annual overheads. |
Lending and Borrowing Services | AED 100,000 27,250$ | AED 50,000 27,250$ | AED 200,000 54,500$ | The higher of [i] AED 500,000; or [ii] 25% of fixed annual overheads. |
VA Management and Investment Services | AED 100,000 27,250$ | AED 50,000 27,250$ | AED 200,000 54,500$ | VA Management and Investment Services using a VASP Licensed by VARA to provide Custody Services or otherwise approved during the licensing process: the higher of [i] AED 280,000; or [ii] 15% of fixed annual overheads. In all other instances, the higher of [i] AED 500,000; or [ii] 25% of fixed annual overheads. |
A Comparison of Crypto Licensing: Dubai vs Lithuania vs Estonia
Feature | Dubai | Lithuania | Estonia |
|---|---|---|---|
Cost | 20 000€ | 20 000€ | 25 000€ |
License Type & Government fee | 1. 9,700€ - Advisory Services & VA Transfer and Settlement Services | 1. Cryptocurrency exchange license
2. Crypto wallet and custodian services license
| 1. Cryptocurrency exchange license
2. Crypto wallet and custodian services license
|
2. 24,250€ - Broker-Dealer, Custody, Exchange, Lending and Borrowing & VA Management and Investment Services | No additional fee | 10 000€ | |
Audit | May be required by VARA | Not required | Monthly and yearly are needed |
Office | Required | Can be virtual | Required |
AML (Anti-Money Laundry Officer) | Can be any nationality | Local needed | Local needed |
AML monthly salary | 5000€ | Starting from 1200€ | Starting from 2000€ |
Local director | Can be any nationality | Can be any nationality | Can be of any nationality, but have to live in Estonia |
Share capital terms | Immidiately | 25% now, 75% within a year.
| Immediately |
Required share capital | 24,250€ (Advisory Services) - 194,000€ (Exchange Services)
| 125 000€ | 100 000€ - Crypto wallet and custodian services license.
250000€ - Cryptocurrency exchange license |
Unveiling the Crypto License in Dubai: An In-Depth Explanation
When it comes to obtaining a crypto license in Dubai (excluding DIFC), you have two primary options: submitting your application through mainland firms or utilizing the Dubai Free Zone Authority (FZA).
License Registration Process: Step 1 - Initial Approval Application
The first step in the license registration process is to submit the Initial Approval Application. This crucial stage involves providing the necessary documentation and information required by the regulatory authorities. Once the application is submitted, it will be reviewed to determine eligibility and compliance with the relevant regulations. Obtaining the Initial Approval is a significant milestone that paves the way for further steps in the license registration process. Our team will guide you through this process, ensuring a smooth and successful application submission.
Step 1: Initial Company Registration
This involves submitting the necessary documentation and information required for the registration. This step establishes the legal foundation of your company and lays the groundwork for further proceedings.
Step 2: Initial Disclosure Questionnaire Once the company registration is initiated, the next step is to complete and submit the Initial Disclosure Questionnaire. This questionnaire collects essential information about your business, ensuring compliance with regulatory requirements.
Step 3: Business Plan Preparation Prepare a comprehensive business plan that outlines your company's objectives, financial projections, and how you intend to incorporate cryptocurrency into your business model. A well-prepared business plan demonstrates your strategic vision and enhances the credibility of your registration.
Step 4: Ownership and Management Details Provide accurate and complete details of the beneficial owners and senior management of the company. This information is crucial for regulatory purposes and ensures transparency in the registration process.
Step 5: Payment of Initial 50% Of Fees To proceed with the registration process, the payment of initial fees is required. These fees cover the administrative costs associated with the registration and signify your commitment to the process.
Following the successful completion of these steps, the company will proceed towards obtaining the necessary approvals, completing operational setup, and adhering to legal requirements. It is important to note that in this stage its not allowed to provide services.
Step 2 - Applying for a Full Market Product (FMP) License
-
Upon gaining Initial Approval, the company will move forward to create and present the necessary paperwork as per the guidelines of VARA (Virtual Asset Regulatory Authority). This paperwork is pivotal for applying for the Full Market Product (FMP) license. The submission may undergo a review by VARA, which could entail meetings, interviews, or requisitions for more documents.
-
Upon addressing any comments or meeting any extra prerequisites set by VARA, it will be the company's responsibility to pay the balance of the application license fees as well as the supervision fees for the first year.
-
Once all the fees are paid and any outlined operational conditions are adhered to, the company will be awarded the FMP license, thus obtaining permission to carry out Virtual Asset activities.
It should be noted that the FMP license may come with certain operational stipulations as set by VARA.
Our Team
Lena Elvbakken
Co-Founder
"Our dedicated services are specifically designed to assist businesses that are stepping into the digital currency realm. We offer all-round support in procuring a cryptocurrency license in Dubai. With a deep understanding of the regulatory environment, we provide proficient advice to guarantee a seamless and successful license acquisition process. Count on our expertise to effectively traverse through Dubai's regulatory terrain, facilitating the flourishing of your cryptocurrency initiatives."
Mardo Soo
Founder
"As a founder at Consulting24, my primary objective is to aid entrepreneurs in setting up their businesses in Dubai and securing cryptocurrency licenses cost-effectively. We are well-versed in the intricacies of the Dubai crypto licensing process and strive to make it straightforward for you, while also efficiently managing your expenses. Our ambition is to open doors to the thriving Dubai crypto market while maintaining licensing costs at a reasonable level. Rest assured, you can depend on us to economically steer you through your crypto licensing voyage in Dubai."