Secure Your Crypto License in UAE by Consulting24
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Setting Up a Business Entity;
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Assistance in Procuring a Cryptocurrency License;
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Aid with AML/CTF Compliance Paperwork;
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Sequential Guidance for Crypto License Submission;
Our Service Fees: 20,000€
Please note, these charges are exclusive of governmental fees, typically fluctuating between 30,000-80,000€.
Crypto Licenses in UAE
The Virtual Assets Regulatory Authority (VARA), accessible at www.vara.ae, functions as the governing body that supervises the inception, utilization, and exchange of digital assets originating from or disseminated across the Emirate of Dubai.
Available License
Advisory Services
Means offering, providing or agreeing to provide a personal recommendation* to a client, either upon its request, or on the initiative of the Entity providing the recommendation, in respect of one or more actions or transactions relating to any Virtual Assets.
*When providing a personal recommendation, the Entity providing the recommendation shall consider the following factors at a minimum in respect of each client—
[a]knowledge and experience in investing in Virtual Assets;
[b]investment objectives including, but not limited to, risk tolerance, time horizon and venues through which they can acquire Virtual Assets; and
[c]financial circumstances including, but not limited to, their ability to bear sudden and significant losses or proportion of their net worth invested in Virtual Assets.
Broker-Dealer Services
Means any of the following—
[a]arranging orders for the purchase and sale of Virtual Assets between two Entities;
[b]soliciting or accepting orders for Virtual Assets and accepting fiat currency, or other Virtual Assets, for such orders;
[c]facilitating the matching of transactions in Virtual Assets between buyers and sellers;
[d]entering into Virtual Asset transactions as a dealer on behalf of the Entity for its own account;
[e]making a market in Virtual Assets using client assets; or
[f]providing placement, distribution or other issuance* related services to clients issuing Virtual Assets.
*As per Regulation II, any Entity in the Emirate that issues a Virtual Asset in the course of a business, must comply with the VA Issuance Rulebook, as may be amended from time to time.
Custody Services
Means safekeeping Virtual Assets for or on behalf of another Entity and acting only on verified instructions from or on behalf of such Entity*.
*All VASPs shall be subject to Rules regarding the storage and custody of clients’ Virtual Assets. Only VASPs which segregate each client’s assets in separate VA Wallets will qualify for a Custody Services Licence.
Exchange Services
Means any of the following—
[a]conducting an exchange, trade or conversion between Virtual Assets and fiat currency;
[b]conducting an exchange, trade or conversion between one or more Virtual Assets;
[c]matching orders between buyers and sellers and conducting an exchange, trade or conversion between [i] Virtual Assets and fiat currency or [ii] one or more Virtual Assets; or
[d]maintaining an order book in furtherance of [a], [b] or [c] above.
Lending and Borrowing Services
Means carrying out a contract under which a Virtual Asset shall be transferred or lent from one or more parties [the Lender[s]] to one or more other parties [the Borrower[s]] where the Borrower[s] shall commit to return the same, at the request of the Lender[s], at any time either during or at the end of the period agreed upon.
VA Management and Investment Services
Means acting on behalf of an Entity as an agent, or fiduciary, or otherwise taking responsibility for the management, administration or disposition of that Entity’s Virtual Assets.
Examples may include, but shall not be limited to—
[a]investment management services or otherwise managing Virtual Assets; and
[b]taking responsibility for the staking of Virtual Assets for the purposes of earning fees or other amounts paid to validators and/or node operators of a proof-of-stake Distributed Ledger Technology.
VA Transfer and Settlement Services
Means the transmission or transfer, and/or settlement of Virtual Assets from one Entity to another Entity or from one Entity to another VA Wallet, address or location.
Official Fees of Obtaining UAE Crypto License
VA Activity | Licence Application Fee | 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. |
We've successfully obtained over 500 licenses in Estonia and Lithuania, making us experts in the global crypto landscape. Dive into our blockchain regulation insights here and book your free 15-minute consultation today.
A Quick Guide to Crypto Licenses in UAE
For those seeking to obtain a cryptocurrency license in Dubai (excluding DIFC), there are primarily two options: submitting applications via mainland companies or capitalizing on the advantages offered by the Dubai Free Zone Authority (FZA).
The journey towards a cryptocurrency license in Dubai begins with the submission of the Initial Approval Application. This critical step involves providing all necessary documents and information as required by regulatory guidelines. Once submitted, the application is scrutinized to ensure it meets regulatory requirements and the applicant's qualifications are evaluated against predefined criteria. Attaining Initial Approval is a significant milestone that sets the stage for subsequent stages in the license acquisition process. Our team of knowledgeable experts is on hand to support you throughout this phase, ensuring a seamless and successful application journey.
Starting Point - Submission of the Initial Approval Application
Step 1: Launch the Company Registration Process
Start the process by providing all the necessary documents and details for registering your company. This step sets the legal groundwork and readies the stage for subsequent steps.
Step 2: Complete the Initial Disclosure Questionnaire
As the registration commences, it's your task to accurately fill in and submit the Initial Disclosure Questionnaire, gathering crucial business data for regulatory compliance.
Step 3: Draft an Extensive Business Plan
Devise a detailed business plan delineating your company's objectives, financial projections, and strategies for incorporating cryptocurrency. This bolsters the credibility of your application.
Step 4: Reveal Ownership and Management Data
Disclose comprehensive and clear information regarding the beneficial owners and executive management of your company. This level of transparency is crucial for the regulatory review.
Step 5: Pay the Initial Fees (50% of Total Fees)
To proceed with the registration, an initial payment of the total fees is required. These charges cover administrative expenses and show your dedication to the process.
After these steps are successfully accomplished, your company is ready to receive the necessary approvals, set up operations, and meet legal requirements. Note that offering services at this stage is not allowed.
Milestone Two - Filing the Full Market Product (FMP) License Application
Step 1: After acquiring Initial Approval, gather and submit the necessary documents in accordance with VARA's guidelines for the Full Market Product (FMP) license. Be prepared for potential additional document requests or meetings from VARA.
Step 2: Address all feedback from VARA promptly and comprehensively, meet any further conditions, and continue with the payment of the remaining license application fees and first-year supervision charges.
Step 3: Once all financial obligations and operational requirements are satisfied, your company will be granted the FMP license, allowing you to kickstart Virtual Asset operations.
Please note: Along with the issuance of the FMP license, VARA may enforce certain operational conditions.
Our Clients
Dubai vs. Lithuania vs. Estonia: Crypto License Comparison
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
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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 |
Our Team
Lena Elvbakken
Co-Founder
"Benefit from our bespoke solutions, crafted for businesses entering the digital currency sphere. We make acquiring a crypto license in Dubai easy, guiding you through regulatory hurdles to grow your crypto business."
Mardo Soo
Founder
"As Consulting24's founder, my aim is to simplify the complex Dubai crypto licensing process for entrepreneurs. We focus on simplicity, cost-effectiveness, and a smooth market entry. Trust us for an affordable approach to your Dubai crypto license acquisition."