The supervision of virtual assets falls under the domain of the Virtual Assets Regulatory Authority (VARA) in Dubai. VARA has established a broad regulatory framework that is tasked with regulating and oversight virtual asset activities. This framework includes compulsory rule books applicable to all Virtual Assets Service Providers (VASPs) and customized guidelines for each defined virtual asset activity.
The core dimensions of VARA audit in Dubai provide valuable understanding of strengthening your operations such as;
The VARA audit evaluates your compliance program’s plan of action blueprint. It includes policies, operations, and staff training. Establishing a deep understanding of possible virtual asset risks and a strong mitigation strategy is fundamental.
Assessment of your VASP’s cybersecurity control’s purpose to strengthen defenses against cyber threats and unofficial access. Measures for precautionary customer data align with rigorous data privacy governance. that’s why, instant response and business coherence plans are key components.
Keeping auditable records of VARA transactions is important for compliance. Auditors guarantee alignment with VARA guidelines in checking virtual assets held by your VASP. The effectiveness of internal controls governing financial reporting and record-keeping procedures is inspected. It ensures transparency and Financial Integrity in your transaction.
Specific scrutiny of KYC (Know Your Customer) and CDD (Customer Due Diligence) processes ensures all-inclusive client identification. It is very significant to ensure Anti-Money Laundering and Counter-Terrorist Financing. The audit evaluates;
The process includes preparing the VARA Audit in Dubai;
Start your VARA audit readiness by adjusting yourself to the complex domain of the Virtual Assets Law (VAL) and relevant VARA Rule books. Regularly review the key documents and stay up-to-date with the VARA’s official updates.
Make a strategic action plan that depicts specific steps to address potential gaps, with clear obligations and deadlines. Update internal plan of action and procedures to smoothly align with VARA compulsions. This step focuses on precision and effectiveness in closing compliance ambiguities.
Set up the legal documentation for a unified VARA audit in Dubai. Organize the mandatory documents precisely for easy recovery during the audit. It establishes transparent audit trails for crucial processes and transactions. The documents are;
Designate a devoted point of contact to modernize the connection between your team and auditors. It is very important to launch active stances such as;
It encourages an environment of open communication that improves the efficiency of the VARA audit in Dubai.
The most Recent Regulations VARA Sets for Audit in Dubai are;
Grasping the knowledge of VARA audit in Dubai is essential for businesses navigating the developing landscape of virtual assets. A complete understanding of VARA regulations, careful self-assessment, and strategic remedial actions are fundamental for unified compliance. As companies manage to follow strict requirements, associating with a trustworthy audit firm is key. Farahat & Co. is one of the top audit firms in Dubai. Their proficient team offers professional guidance for an effective VARA audit in Dubai that ensures transparency, and safeguards against possible penalties.
Virtual assets (crypto assets) state any digital picture of value that can be numerically traded, transferred, or used for money.
The process to get a VARA license in Dubai is;
VARA was established in March 2022. Its goal is to take its mission worldwide by generating an easy-to-imitate framework to regulate the industry.
Examples of virtual assets are;
Also read: VARA Sets New Regulations for Virtual Assets in Dubai
VARA shall confirm its assessment of a firm’s actions through the firm’s viable licensor and firms measured as carrying out the activity of exclusive trading will be mandatory to pay an annual NOC fee of AED 1,000.