Cryptocurrency License in Dubai
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Advisory Services
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Broker-Dealer Services
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Custody Services
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Exchange Services
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Lending and Borrowing Services
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VA Management and Investment Services
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VA Transfer and Settlement Services
VARA (Virtual Assets Regulatory Authority), located at www.vara.ae, is the authoritative body tasked with the oversight and regulation of the dissemination, application, and trade of virtual assets stemming from or circulated within the Emirate of Dubai.
Our Clients
Dubai Cryptocurrency License Government Fees
VA Activity | Licence Application Fee | Licence Extension Fee | Annual Supervision Fee | Share Capital |
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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. |
Navigating the world of cryptocurrency can often seem like a complex labyrinth, particularly when it comes to understanding the varying legal frameworks. As an alternative to the Dubai jurisdiction, we at Consulting24 recommend exploring the cryptocurrency rules or rules of crypto trading progressive regions like Estonia and Lithuania. This in-depth knowledge can help identify unique opportunities and challenges, allowing you to align them with your business objectives. Take the first step towards understanding the complex landscape of cryptocurrency regulations and how it can benefit your venture.
Unveiling Dubai's Crypto License: A Concise Guide
When it comes to acquiring a crypto license in Dubai (excluding DIFC), you have two primary avenues: submission through mainland companies or utilizing the services of the Dubai Free Zone Authority (FZA).
The first phase in the license registration pathway is to file the Initial Approval Application. This essential step involves presenting the pertinent documentation and data as required by regulatory authorities. Post-submission, the application is reviewed to determine its compliance and eligibility in accordance with the applicable regulations. Attaining Initial Approval is a crucial milestone that clears the way for subsequent steps in the license registration journey. Our experienced team will steer you through this procedure, ensuring a fluid and successful application submission.
Process of License Registration: Stage 1 - Initial Approval Application
Step 1: Launch Company Registration
This step entails the submission of vital documentation and details needed for the registration process. It creates the legal basis for your company and paves the way for subsequent actions.
Step 2: Fill Out the Initial Disclosure Questionnaire After the commencement of company registration, the next action is to complete and submit the Initial Disclosure Questionnaire. This questionnaire collects key information about your enterprise, assuring regulatory compliance.
Step 3: Create an In-Depth Business Plan Design a robust business plan that outlines your company's targets, financial estimates, and your strategy for incorporating cryptocurrency into your business operations. A well-conceived business plan underlines your strategic foresight and enhances the authenticity of your registration.
Step 4: Provide Details on Ownership and Management Furnish complete and accurate information about the beneficial owners and senior executives of the company. This information is essential for regulatory purposes and ensures transparency in the registration procedure.
Step 5: Pay the Initial 50% of Fees To move forward with the registration procedure, payment of the initial fees is required. These fees cover the administrative costs related to registration and reflect your commitment to the process.
Once these steps are successfully completed, the company will proceed towards obtaining necessary approvals, finalizing operational setup, and adhering to legal mandates. It's important to remember that during this stage, offering services is not authorized.
Stage 2 - Full Market Product (FMP) License Application
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Once the Initial Approval is obtained, the company then moves on to create and present the necessary paperwork in line with the guidelines set out by VARA (Virtual Asset Regulatory Authority). This is an essential component for applying for the Full Market Product (FMP) license. VARA may opt to review the submission, which could include holding meetings, conducting interviews, or requesting additional documentation.
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After all comments have been addressed or any additional requirements set by VARA have been satisfied, it becomes the company's responsibility to pay the remaining application license fees as well as the first year's supervision fees.
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With all fees paid and any stipulated operational conditions met, the company will then be issued the FMP license, which gives them the go-ahead to carry out Virtual Asset operations.
Note that there may be certain operational conditions attached to the FMP license as determined by VARA.
Contrasting Cryptocurrency Licensing: A Look at Dubai, Lithuania, and Estonia
Feature | Dubai | Estonia | Lithuania |
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Cost | 20 000€ | 25 000€ | 20 000€ |
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 | 10 000€ | No additional fee | |
Audit | May be required by VARA | Monthly and yearly are needed | Not required |
Office | Required | Required | Can be virtual |
AML (Anti-Money Laundry Officer) | Can be any nationality | Local needed | Local needed |
AML monthly salary | 5000€ | Starting from 2000€ | Starting from 1200€ |
Local director | Can be any nationality | Can be of any nationality, but have to live in Estonia | Can be any nationality |
Share capital terms | Immidiately | Immediately | 25% now, 75% within a year.
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Required share capital | 24,250€ (Advisory Services) - 194,000€ (Exchange Services)
| 100 000€ - Crypto wallet and custodian services license.
250000€ - Cryptocurrency exchange license | 125 000€ |
Consulting24 Team
Lena Elvbakken
Co-Founder
"Our suite of specialized services is meticulously crafted to support enterprises venturing into the digital currency landscape. We deliver comprehensive assistance in securing a cryptocurrency license in Dubai. Leveraging our profound knowledge of the regulatory framework, we provide expert guidance to ensure an uninterrupted and triumphant license procurement journey. Depend on our proficiency to adeptly navigate Dubai's regulatory complexities, aiding the successful growth of your cryptocurrency endeavors."
Mardo Soo
Founder
"As a founder at Consulting24, my chief objective is to support entrepreneurs in founding their ventures in Dubai and acquiring cryptocurrency licenses in a cost-efficient manner. We possess comprehensive knowledge about the intricacies of the Dubai crypto licensing procedure and we're devoted to making this process as straightforward as possible for you, all while efficiently managing your expenses. Our ambition is to facilitate your entry into the flourishing Dubai crypto market, while ensuring licensing costs are kept within reasonable bounds. Rest assured, you can rely on us to economically navigate your crypto licensing pathway in Dubai."