Recently, the Dubai Financial Services Authority (DFSA) announced a major update to its regulatory framework for crypto tokens. Under the new rules, licensed companies operating within the Dubai International Financial Centre (DIFC) are now responsible for assessing whether the crypto tokens they trade meet regulatory requirements.
Background and Implementation of the New Rules
This adjustment follows a consultation process launched in October 2025 and marks a shift in the regulator's approach since the crypto token regime was introduced in 2022. Charlotte Robins, Managing Director of Policy and Legal at DFSA, stated that the change aims to transition toward a more flexible and principle-based regulatory model.
Previously, DFSA was responsible for reviewing and maintaining a list of approved crypto tokens. Now, this responsibility has been fully transferred to the firms themselves, with the regulator no longer publishing an official list. Additionally, no specific categories of digital assets have been explicitly banned.
Companies Must Take Greater Responsibility
- Licensed firms must independently evaluate the compliance of their tokens.
- Businesses must ensure their financial products meet DFSA standards.
- Companies should strengthen internal compliance processes to meet new regulatory demands.
This update places a greater compliance burden on businesses while also offering increased market flexibility. Experts suggest the change could help drive innovation while ensuring market participants maintain strong risk management capabilities.