Dubai Orders Crypto Exchange KuCoin to Stop Offering Services to Residents

Core Viewpoint - Dubai's Virtual Assets Regulatory Authority (VARA) has ordered KuCoin Exchange EU GmbH to cease operations in the emirate due to lack of a license for providing digital asset services [1][2] Regulatory Actions - VARA has identified that KuCoin may be offering Virtual Asset activities to Dubai residents without necessary regulatory approvals and misrepresenting its licensing status [2] - The regulator has warned investors against engaging with unlicensed companies, highlighting significant financial risks associated with such actions [2] Company Response - KuCoin stated that it operates through various entities in different jurisdictions, emphasizing that KuCoin Exchange EU GmbH is focused on the EU market and does not accept non-EU users or conduct marketing outside this area [3] - A spokesperson for KuCoin acknowledged the rapid development of regulatory frameworks for digital assets and expressed the company's commitment to cooperating with regulators globally [4] Related Developments - Another crypto exchange, MEXC, received a warning from VARA on March 4, but was not formally instructed to cease operations, although it was informed that it cannot offer or promote virtual asset services in Dubai [5]