Safeguarding Investors in Dubai, Via Regulations Linked to Crypto Marketing

Dubai has become a fan of the virtual currency world! It is evident from the way it has set itself up as a global digital currency center. Numerous well-reputed businesses and companies have begun to make an entry into Dubai’s crypto world. 

To illustrate, FTX set up regional headquarters in Dubai. It did so with willingly-permitted, regulatory approval. FTX is the trading venue belonging to Sam Bankman-Fried. Similarly, OKX and CryptoCom have obtained licenses for operating in this region. 

Dubai’s Pro-Cryptocurrencies Stance 

The past few months have displayed this city’s changed stance towards cryptocurrencies. It is all pro-crypto, today, as evinced by the easy way in which companies are receiving business licenses. True, they are provisional licenses. Regardless, they are worthy benefits!

Apart from the above-mentioned companies, there is Binance. It has permission to launch operations in this important city, linked to the United Arab Emirates. Then again, Emirates Airline has expressed eagerness to accept Bitcoin as payment. This announcement was made in May 2022. 

Emirates Airline is the leading airlines company in the UAE. Its COO (chief operating officer) is Adel Ahmed Al-Redha. He declared that the company is also going to make use of blockchain technology, to look up records of aircrafts. 

Obtaining Valid Licenses to Operate in Dubai

Any crypto company desiring to operate in Dubai, must approach VARA. It is authorized to go through applications for licenses. It may accept/reject applications.

VARA stands for Virtual Asset Regulatory Authority. It is the watchdog for the virtual currency industry in Dubai. The organization has instructed firms dealing in digital currencies, to acquire licenses to do so. Only then, may they go ahead with advertising products and services. 

When commercial establishments have valid licenses to operate, they enjoy the trust of their consumers. Here, investors gain maximum protection, thanks to VARA. Similarly, no one may disseminate misleading information via marketing campaigns. These campaigns should be inclined towards digital assets, only, educative, and informative. 

Of course, investors, whether beginners, or experienced experts, incline towards Bitcoin. They pay attention to other cryptocurrencies, only in limited doses. The reasons for such partiality, are displayed on BitAlpha AI, one of the best online trading and investment platforms. It is possible to compare BTC with other cryptocurrencies too, via an exploration of these web pages. 

Consumers’ Safety is a Priority

Dubai is going all out to promote digital currencies, and their uses. Towards this end, therefore, the city launched a few, rather bizarre events. These events were on display, a few months ago. 

To illustrate, Florian Ughetto and Liz Nunez were married in the Metaverse. The bridegroom is French, while the bride is from Paraguay. Such an event had never been on display at Dubai, before. The explanation for this event, however, is simple. The couple wished every family member, and all close friends, to be present for their wedding. Only virtual reality could make this possible. Therefore, they went ahead with their unusual wedding.

Similarly, other events have followed this one. Nonetheless, everything should take place with official permission. It is why the UAE began to take steps to regulate the industry concerning digital assets. The outcome showed up in March 2022, in the form of VARA. This remains an independent agency, closely observing the happenings in the crypto sector. 

VARA has brought regulatory guidelines in place, too. All firms advertising digital currency services and/or products, must follow them. These products and services, include offline/online publishing channels, search platforms, and media websites. The publishing channels are akin to advertising platforms, urging people to adopt cryptocurrencies. 

The regulations are mainly focused on activities involving communication and marketing. Applicants for licenses, must first go through these guidelines. Only then, they may make their MVP (minimal viable product) licenses, operational. This way, they do not incline towards dissemination of mass-market information. There is no guarantee whether the information is completely/partially truthful. Similarly, the licensees may not engage in consumer solicitation. 

The Prime Minister takes a keen interest in whatever is happening in Dubai. As per Sheikh Mohammed bin Rashid Al Maktoum, regulations serve to safeguard investors. They also serve to keep the community alert. Thus, Dubai is aiming towards a crypto future, with well-developed security measures in place.