[DigitalToday reporter Chi-gyu Hwang (황치규)] Dubai’s Virtual Assets Regulatory Authority (VARA) has ordered four affiliated entities operating under the KuCoin brand to immediately halt all unlicensed virtual asset business, The Block reported on Thursday.
The move was due to KuCoin not holding the approvals required to operate in Dubai.
VARA said the four entities — Phoenixfin Pte Ltd, MEK Global Limited, Peken Global Limited and KuCoin Exchange EU GmbH — all did business under the KuCoin brand and domain and operated illegally.
Under Dubai law, virtual asset service providers must obtain authorisation. VARA said KuCoin may have “falsely indicated” it held a licence while providing services to Dubai residents without the relevant authorisation.
VARA said dealing with unlicensed firms could expose users to financial risks and make them liable under UAE-related laws. It urged Dubai consumers and investors to avoid using KuCoin and to exercise caution when dealing with unregulated firms.
Chi-gyu Hwang
delight@d-today.co.kr