Dubai: The UAE’s Securities and Commodities Authority (SCA) has inched closer to issuing regulations for investment into virtual assets, it said on Tuesday, as it completed the consultation process with concerned authorities.
The regulatory and supervisory framework will also address the risks of money laundering and terrorist financing related to virtual assets and virtual asset service providers in the country, in line with the Financial Action Task Force’s requirements, it said.
The SCA also stressed that it is the sole authority in the UAE mainland - except for the financial free zones, ADGM and DIFC – for licensing, supervising and overseeing the virtual assets activities and services issued for investment purposes (not virtual assets issued for payment purposes) as well as monitoring the compliance of the licencees.
It also noted that any person wishing to conduct a virtual assets services provider business in the mainland must obtain an initial approval from the SCA, before obtaining a commercial licence from the competent authority.
