BitOasis will remain "non-operational" until all terms are met.
Dubai-based crypto exchange BitOasis recently had its license temporarily suspended by the local regulator due to non-compliance with specific mandated conditions within the allocated timeframes.
The regulatory body, Virtual Assets Regulatory Authority (VARA), issued a dual alert on July 10th, indicating the enforcement actions it took against BitOasis. The authority also noted that it was conducting a review of the operations of the crypto exchange.
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VARA had granted BitOasis a provisional license on April 12th, with the understanding that the crypto exchange would comply with key conditions over specific timeframes, ranging between 30 to 60 days. Some requirements, according to VARA, have not been fulfilled by BitOasis.
While VARA didn't provide explicit details of the unfulfilled conditions, it declared that BitOasis's license for Institutional and Qualified Retail Investors would remain "non-operational" until all terms are met.
In its announcement, VARA claimed it will "continue to monitor the situation for regulatory compliance remediation."
In May, the crypto exchange obtained one of the city's "minimum viable product operational licenses" from VARA. The license permitted BitOasis to provide broker-dealer services to qualified institutional and retail investors in Dubai.
This type of license forms part of a series of requirements before the issuance of a Full Market Product (FMP) license. To date, VARA has not issued an FMP license to any entity. BitOasis must fulfill all conditions laid out in its current authorization to be eligible to apply for an FMP license, as clarified by VARA.
The license suspension is a reminder for all firms to ensure strict adherence to regulatory compliance in this rapidly evolving digital asset landscape.
However, while some companies fail to comply with VARA's requirements, other players in the crypto landscape, such as Bybit, voiced their dedication to operating as a full-scope virtual asset exchange in Dubai.
