Dubai’s Virtual Assets Regulatory Authority (VARA) has ordered several entities advertising as KuCoin to stop offering virtual asset services in the emirate, saying the platform is not authorized to serve Dubai residents. VARA identified Phoenixfin Pte Ltd, MEK Global Limited, Peken Global Limited and Kucoin Exchange EU GmbH as parties that may be operating without required approvals and misrepresenting their licensing status.
The regulator said the group must cease all unlicensed digital-asset activities and reiterated that KuCoin does not hold any licence to provide virtual asset services in or from Dubai. VARA warned that any promotion, advertising or solicitation associated with KuCoin in Dubai has not been approved and that carrying out such activities would breach VARA rules and UAE law, including Dubai Law No. 4 of 2022 and Cabinet Resolution No. 111/2022, which require virtual asset service providers to be licensed.
VARA cautioned consumers about the significant financial risks and potential legal consequences of dealing with unlicensed platforms and urged Dubai-based users to avoid using KuCoin for virtual asset services. The authority advised people to consult its public register of licensed providers before transacting and encouraged reporting suspected unlicensed activity directly to VARA.
The Dubai warning follows action in Austria, where the Financial Market Authority froze new business at KuCoin EU, the Vienna-based entity holding a MiCA license, after finding failures to maintain key anti-money-laundering, counter-terrorist-financing and sanctions-compliance roles. KuCoin’s European management said it had voluntarily paused new onboarding and some trading while it works to fill those positions and restore full compliance.
Cointelegraph contacted KuCoin for comment but had not received a response at the time of publication.