Dubai’s Virtual Assets Regulatory Authority has issued its 50th crypto license, highlighting the continued growth of its digital asset regulatory framework. While licensed firms are increasing, many remain non-operational. The regulator is also strengthening compliance, expanding oversight, and intensifying enforcement against unlicensed crypto businesses.
Dubai VARA Reaches Major Licensing Milestone Amid Gap
Dubai’s Virtual Assets Regulatory Authority (VARA) has issued its 50th license to a virtual asset service provider (VASP), marking a significant milestone since its launch in 2022.
The achievement reflects Dubai’s continued efforts to establish itself as a global digital asset hub through a dedicated regulatory framework.
Despite the milestone, the number of licensed firms exceeds the number of those actively operating. By the end of 2025, only 39 licensed VASPs had completed the regulatory process required to begin commercial operations.
This difference highlights that receiving regulatory approval does not automatically permit firms to start offering services. Dubai VARA distinguishes between fully operational licenses and In-Principle Approvals.
Firms holding the latter have regulatory approval but must complete additional requirements before launching business activities.
As of May 2026, Dubai VARA’s public register listed 49 licensed entities, with CoinCorner Virtual Assets Broker & Dealer Services L.L.C. becoming the latest addition after securing its license on May 5.
Also Read: Robinhood and BitGo Layoffs Signal Late-Stage Crypto Bear Market
Institutional Firms Drive Latest Wave of Approvals
Recent approvals show VARA’s growing focus on institutional market participants. LTP received its broker-dealer license in April 2026, allowing it to serve professional and institutional clients.
Earlier, in February 2026, Animoca Brands Middle East was licensed, contributing to the expansion of the Web3 regulatory landscape of Dubai.
Dubai VARA regulatory system is currently designed to accommodate exchanges, custody services, broker-dealer services, and issuance of tokens, thus providing digital asset companies a wide variety of regulatory options to operate in Dubai.
Dubai Strengthens Crypto Oversight
Dubai VARA was founded through Dubai Law No. 4 of 2022 and is one of the earliest regulators that has been established purely for virtual assets. It has since then gradually increased its regulatory jurisdiction.
In 2025 and 2026, it tightened regulations with regard to market abuse and compliance with anti-money laundering measures.
It increased its jurisdiction to include stablecoins and tokenized real assets while also taking action against unauthorized crypto companies.
Why This Matters and What Happens Next
The issuance of the 50th license under VARA’s regulatory system signifies an important step towards making Dubai a well-regulated crypto center in the world.
The structured process of issuing licenses by Dubai provides digital assets companies with more clarity on regulation, while encouraging institutions to join. As regulations increase, investor confidence is boosted.
VARA will continue to review applications coming in and help licensees get accustomed to operating in their day-to-day capacity.
This regulatory body will most likely continue to be interested in anti-money laundering measures, market integrity, stablecoins, and tokenized real-world assets as Dubai develops its regulated virtual asset ecosystem.
Also Read: Hyper Foundation Launches $10M Grants Amid USDH Shutdown
