The Dubai Virtual Assets Regulatory Authority (VARA) has published rules for trading cryptocurrency derivatives on exchanges. These requirements apply to all licensed platforms in the emirate (VASP).
The new document establishes strict guidelines for this riskier market segment, regulating asset segregation, margin control, and disclosure standards.
Both institutional and retail investors will be able to trade derivatives.
Exchanges are now required to thoroughly vet regular users, assessing their financial status, trading experience, and risk tolerance. Access will be denied if the product is deemed unsuitable for the client.
For the retail sector, leverage is capped at 5:1 (with an initial margin of 20%). This is significantly lower than the conditions offered by offshore crypto exchanges, where leverage can reach up to 100x.
In times of crisis and market instability, the regulator can intervene in platform operations without prior notice. VARA has the authority to suspend trading, forcibly liquidate positions, increase margin requirements, and utilize insurance funds.
The new rules formalize previous experiments in the UAE market. In 2024, the OKX exchange launched crypto derivatives trading in Dubai exclusively for institutional investors. In July 2025, the platform tested futures and options for retail clients with leverage up to 5x. This format is now mandatory for all licensed companies.
It is worth noting that in 2025, UAE authorities strengthened their positions in digital finance and the PropTech segment.