In the crypto market protection of users has remained a key concern for all. In fact, in the crypto market, investors have always complained about a lack of protection. It is a very volatile place for investors. In fact, we should mention that it’s is more volatile than the stock market. Therefore, as a result, the crypto market might see a sharp decline, just after going through a sharp rise. In fact, this is almost a common thing in the crypto market.
In fact, it’s also worthecent data also shows a sharp rise in the crypto market has attracted new users to invest in crypto. They usually consider it a good way of making money.
However, problems will appear if shortly after their investment, the market takes a downward step. Then things will become painful for those users. In addition, a lot of users have also complained about the ads and promotions of virtual asset service providers. The complaint is that these things have misled them into investing in the market.
Therefore, in such a situation, the recent crypto marketing rules issued in Dubai become important. These rules are focused primarily to protect crypto users. If you wish to learn more about the new rules, then keep reading this article. Here you will find every little thing that you need to know about the new crypto marketing rules of Dubai.
The New Crypto Marketing Rules in Dubai
Recently, Dubai has put up a new licensing program for crypto service providers. So, shortly after that, the local people are adding some more ads and marketing rules for the crypto industry. The Virtual Asset Regulatory Authority (VARA) of Dubai has also mentioned a new set of rules. These new rules take into account the ads, marketing and all kinds of promotional events of crypto coins.
According to Gulf News, the new report by VARA takes into account, all forms of public reach outs. These include spreading the latest info, customer engagement, communications and ads, investor solicitation and many others. Therefore, all crypto-based talks and entities publishing info on Dubai-based media websites, search platforms, as well as online and offline publishing channels, are under the coverage of the new set of rules.
In addition, the rules also demand factual accuracy from all local virtual asset service providers. The new set of rules asks the VASPs to be transparent while reaching out to potential customers. This is a measure to avoid misleading the users.
In fact, it’s also worth noting that the VARA added that these new rules are related to the crypto-focused Minimal Viable Product licensing. They also stated that these rules are specifically aimed to protect the interest of the customers.
Sam Bankman-Fried’s FTX crypto exchange has been one of the earliest firms to have received VARA’s MVP license in July 2022, through FZE. In addition, these new guidelines came at a tie when Abu Dhabi announced new plans about applying a new strategy for blockchain and virtual assets aligned with the country’s overall economic strategy.
Therefore, the guidelines might be seen as a part of a larger revamping of the crypto industry in Dubai and Abu Dhabi.