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VARA CEO Advocates for Regulatory Compliance Solutions
Matthew White, CEO of Dubai’s Virtual Asset Regulatory Authority (VARA), recently addressed the need for innovative solutions to ease the regulatory burden on smaller crypto entities. During a regulatory panel discussion at the Paris Blockchain Week, White emphasized the imperfections in current crypto regulations and highlighted the importance of improvement.
Challenges in Regulatory Compliance
- High costs associated with regulatory compliance for smaller crypto entities
- Limited resources hindering compliance efforts
White stressed the significance of finding solutions to these challenges and mentioned VARA’s ongoing engagement with industry stakeholders to develop regulations that cater to the diverse needs of the crypto community.
Potential Solutions Proposed by White
- Larger market participants hosting smaller ones to share compliance burdens
- Fostering innovation while ensuring regulatory compliance
By having larger players bear the compliance costs, smaller entities can enter the regulated ecosystem more easily. White reiterated VARA’s goal of balancing innovation with regulation to create a conducive environment for the crypto industry.
Future of Crypto Regulation in Dubai
The Virtual Asset Regulatory Authority (VARA) was established in March 2022 to oversee and nurture the Web3 ecosystem in Dubai. In February 2023, VARA introduced comprehensive regulatory guidelines tailored for virtual asset service providers (VASPs), including rulebooks for operational protocols and virtual asset issuance.
Matthew White took over as CEO of VARA in November of the same year, succeeding Henson Orser. His appointment coincided with increased regulatory scrutiny in the UAE, emphasizing the importance of licensed virtual asset service providers.
White’s Vision for Regulation
During discussions on the future of crypto regulation, White acknowledged the inevitability of significant regulations in the short to medium term. He expressed optimism about leveraging technology to achieve policy objectives and hinted at exploring technological solutions through pilot programs at VARA.
White’s focus on balancing regulatory certainty with fostering innovation reflects VARA’s commitment to creating a sustainable and inclusive regulatory framework for the growing crypto ecosystem in Dubai.
Ian is a cryptocurrency enthusiast blending humor with professionalism. With an engineering background and a storyteller's heart, he simplifies the blockchain world with sharp analysis and a touch of wit. At Cryptowire, he brings his unique perspective to make digital financial innovation accessible to all.
