On August 16, the Virtual Asset Regulatory Authority (VARA) of Dubai, the United Arab Emirates, escalated its actions against cryptocurrency exchange Open Technology Markets Ltd. (OPNX).
This follows a previous notification we issued about the exchange’s conduct in April 2023. The regulator also fined the exchange and its executives.
On May 2, OPNX was fined $2.7 million for violating Dubai’s regulations on the marketing and promotion of virtual assets and related activities. The exchange has yet to pay the fine.
VARA is stepping in to respond to the alleged bankruptcy claim.
All penalties are reviewed by the regulator’s Complaints Committee in accordance with the law. The Committee approved the enforcement action against OPNX, justifying the imposition of the fine.
As OPNX has not paid, VARA is actively considering additional measures to ensure compliance. These could include additional fines, penalties, and even resorting to enforcement or legal avenues if necessary.
In recent years, several exchanges, including Kraken, Binance, and Bybit, have opened offices in Dubai. This trend is likely to continue as Dubai solidifies its position as a leading technology hub.
In May 2023, VARA sent a warning to Bybit, informing the cryptocurrency exchange that it would have to comply with UAE laws if a license was issued.
In March this year, the Dubai Financial Services Authority (DFSA) issued a statement calling on regulators to strengthen cooperation to combat cryptocurrency scams. #OPNX #反营销法