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The UAE’s Securities and Commodities Authority (SCA) and the Dubai Virtual Assets Regulatory Authority (VARA) have signed a strategic partnership to align regulatory frameworks for virtual assets across the country, aiming to eliminate duplication and strengthen supervision.
The agreement sets out a unified mechanism for registering virtual asset service providers (VASPs), enabling mutual recognition of licenses and facilitating the exchange of information between the two regulators.
It also introduces joint oversight and operational coordination.
The move comes after months of coordination between the two bodies and reflects broader efforts by the UAE to build a streamlined, globally credible regulatory environment for digital assets.
New SCA committee to work with VARA
In a parallel development, the SCA’s board has approved the formation of a Coordinating Committee for Legislative Review, which will work with VARA to assess and develop legislation in line with international standards.
The partnership also includes joint technical consultations, shared risk assessments – particularly in anti-money laundering and counter-terrorism financing – and collaboration through joint task forces.
Both entities are aligning systems to enable real-time information sharing and institutional integration.
The two regulators say the goal is to enhance transparency, improve market integrity, and foster innovation within the virtual asset ecosystem.
They also aim to deepen international cooperation through active participation in global forums including the Financial Action Task Force (FATF).
“Our strategic partnership with VARA represents a global benchmark in effective governance and advanced oversight, further reinforcing the UAE’s status as a premier international hub for digital assets,” said Waleed Al Awadhi, CEO of the SCA. “We are committed to leading this regulatory transformation by achieving exceptional standards in transparency and security.”
VARA CEO Matthew White described the collaboration as a step towards “future-proofing” the UAE’s virtual asset economy.
“By unifying oversight and aligning supervisory frameworks with SCA, we are not only minimising regulatory duplication, but also laying the groundwork for a globally credible, secure, and innovation-first ecosystem,” White said.
The agreement positions the UAE to consolidate its role as a competitive hub for digital asset investment and regulation in the region and beyond.
