The Virtual Assets Regulatory Authority (VARA) of Dubai has suspended the conditional license of BitOasis, a cryptocurrency exchange. The license was just awarded three months ago, however, it has been revoked due to BitOasis’ failure to meet key regulatory requirements.
BitOasis is currently under evaluation, according to VARA, for failing to meet the mandatory conditions within the period. As a result, the company is barred from participating in any VARA-regulated market activity.
BitOasis got the license in April and stated that it was striving to achieve the required conditions. The license especially covers institutional and qualified investors who have not yet received services from the exchange. The suspension, however, does not affect the exchange’s ability to continue providing broker-dealer services to existing retail users. It has vowed not to accept new clients until it has achieved complete compliance with VARA regulations.
VARA notified the suspension of BitOasis’ operational MVP (Minimum Viable Product) License, which targeted institutional and qualified investors. BitOasis stressed that it had not yet begun operations for these portions since it needed to meet all VARA-mandated standards.
BitOasis is still dedicated to getting a broker-dealer license and operating a compliant, regulated platform under the supervision of VARA. To address the pending post-licensing conditions, the company will continue to collaborate closely with VARA.
NEWS: 🚫#BitOasis' license suspended by Dubai regulator! The cryptocurrency exchange failed to meet required conditions. 💼🔒
— Walletor (@walletorapp) July 12, 2023
VARA’s MVP licensing scheme, which was established in 2022, provides a substantial regulatory framework for virtual assets in Dubai. BitOasis has been at the front of the region’s blockchain business, being among the first virtual asset service providers to receive VARA accreditation.
BitOasis has always prioritized transparency. As a result, they are certain that it will keep the community informed as they seek to meet the standards. The company recognizes the challenges of developing an environment and is committed to working closely with VARA.
Finally, regulatory compliance is critical for exchanges in order to maintain market trust and stability. BitOasis’ license suspension serves as a warning that even established firms must follow regulatory requirements. Its dedication to work with VARA and openness about its operations instills trust in its long-term objectives.