Dubai Warns Against KuCoin Exchange
Dubai’s crypto regulator warns that KuCoin operated in the city without the required license.
Dubai’s cryptocurrency market regulator has warned investors about the activities of the KuCoin exchange. According to the authority, the platform offered virtual asset services to residents of Dubai without obtaining the required permits.
The statement was issued by the Virtual Asset Regulatory Authority (VARA). The warning concerns Phoenixfin PTe Ltd, MEK Global Limited and Peken Global Limited, companies operating under the KuCoin brand. The regulator indicated that the platform provided cryptocurrency-related services to Dubai residents despite lacking the appropriate license.
VARA emphasized that KuCoin may have misled users regarding its licensing status. As a result, the exchange has been ordered to immediately cease all unauthorized activities related to cryptocurrencies and virtual assets within Dubai.
The authority also reminded investors that KuCoin does not hold a license allowing it to provide virtual asset services in or from Dubai. According to the regulator, companies operating without authorization pose a serious risk to consumers. Such entities are not subject to VARA’s regulations and oversight, which may lead to financial losses or legal issues for users.
Under Dubai law, including Law No. 4 of 2022 and Government Resolution No. 111 of 2022, any company offering virtual asset services must obtain the appropriate license in order to operate legally in the market.
The warning from Dubai coincides with regulatory issues the exchange is facing in Europe. At the beginning of 2026, KuCoin obtained a MiCAR license in Austria, allowing it to operate in the European Union as a crypto-asset service provider. However, in February 2026 the Austrian Financial Market Authority (FMA) prohibited KuCoin EU from acquiring new customers.
The decision was related to violations of anti–money laundering regulations. The regulator also pointed to an insufficient number of staff responsible for regulatory compliance, which led to the suspension of new business activities in February 2026.
