Small Crypto Players in Dubai to get benefits from VARA

Dubai is taking a new approach to inject power and support into smaller Web3 players. VARA, the Web3 regulatory body of Dubai wishes to make the operational and compliance process for small players more cost effective. Figuring out a way to manage and reduce compliance costs for bootstrapped and emerging entities working around crypto, metaverse, blockchain, or NFTs, at this point, is among the top priorities for VARA in Dubai.

Matthew White, the CEO of Dubai's Virtual Asset Regulatory Authority (VARA), was recently speaking at the Paris Blockchain Week. During his speech White said that there is still scope for improvement in Dubai's crypto laws.

As per White, several methods are being considered in Dubai to take some burden off smaller Web3 businesses. Giving an example of a potential solution, White said, bigger and more established Web3 players could perhaps ‘host' the smaller entities. Through this, the larger party could bear some expenses of the smaller party, while utilising to their advantage, the resources or initiatives that these dependent firms are working on.

“(In this system), the cost of compliance is borne by the larger systemic players, and this allows the smaller players to come into the ecosystem, be regulated, but also not have to suffer the same sort of level of costs of compliance that we've got,” the CEO of VARA said.