Regulatory Alerts2025-06-19
Lending and Borrowing Services Rulebook
Issued by the Dubai Virtual Assets Regulatory Authority, this Rulebook requires Licensed Virtual Asset Service Providers to implement comprehensive policies, transparent disclosures, strict collateral management, and detailed client agreements for Lending and Borrowing Services in Dubai. It mandates monthly client reporting, eight-year record-keeping, and continuous counterparty due diligence to mitigate liquidity and market risks. Licensed entities must also secure explicit client consent for asset usage, clearly define interest calculations and withdrawal rights in Client Agreements, and maintain ongoing compliance with overarching VARA regulations.
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