The Virtual Asset Regulatory Authority (VARA), which is responsible for regulating virtual assets in Dubai, recently presented guidelines for the marketing and promotion of digital assets. These guidelines are applicable to any organization that uses media sites or publishing channels situated in Dubai. “ensure factual truth,” “explicitly demonstrate any promotional objective,” and “in no way mislead on the assured nature of their returns” are some of the goals that the rules will help achieve.
Guidelines That Are to Be Followed by Dubai’s Licensed VASPs
The Virtual Asset Regulatory Authority (VARA), which is in charge of regulating virtual assets in Dubai, just recently made an announcement regarding the criteria that would govern the marketing and promotion of digital assets. According to a report in the Khaleej Times, the rules are a reflection of the aim of the regulator to offer a legal framework that brings economic opportunities without sacrificing the security of the market. According to the report, the VARA rules include “all forms of outreach, communications, and advertising,” which includes the release of information, the cultivation of awareness, the engagement of customers, and/or the solicitation of investors. In addition to this, they cover any and all virtual assets that are connected to marketing campaigns conducted by any firm utilizing Dubai-based media sites and publishing channels that are directed specifically toward clients in Dubai.
Additional information was provided in the report, which stated, “Guidelines further detail the obligations of Dubai licensed VASPs [virtual assets service providers] and any advertising platforms that are positioning VA [virtual assets] content across traditional and new-age media channels for the Dubai market, to ensure factual accuracy, explicitly demonstrate any promotional intent, and in no way mislead on the guaranteed nature of their returns.”
Before settling on a choice, users should first consult the guidelines to ensure they have all the necessary information.
Kokila Alagh, founder of KARM Legal Consultants, made these remarks in response to the publication of the VARA’s advertising guidelines: “regulations will go a long way in ensuring that people receive the appropriate information before making their decisions.” The co-founder and chief marketing officer of Crypto Oasis, Faisal Zaidi, stated that the announcement assures companies operating in the digital assets field perform correctly, which in turn helps protect consumers and investors.
According to the newspaper, Atul Hegde, the creator of YAAP, is reported as saying that the decision “augurs well for Dubai’s objectives of becoming among The top worldwide locations for cryptos, blockchain, and the metaverse.”