dubai CRYPTOCURRENCY NEWS Dubai’s VARA warns consumers of risks associated with memecoins Maria Nikolova 0 Comments February 14, 2025 The Virtual Assets Regulatory Authority (VARA) has issued an alert to inform consumers and investors of the risks associated with advertisements promoting subscriptions to memecoins. Memecoins are highly speculative and volatile assets, frequently subject to market manipulation. Many such assets lack intrinsic value and derive their pricing from social media trends, hype, or misleading promotional strategies. Investors should exercise caution when presented with claims of unrealistic returns, as these often indicate fraudulent schemes. There is a risk of significant financial loss within short timeframes due to price collapses, liquidity shortages, or scams. Any virtual asset issuance from Dubai must ensure adherence with VARA Regulations and Rulebooks. Any promotion, advertising, or solicitation of virtual assets must adhere to VARA’s Marketing Regulations. Entities engaging in unauthorised virtual asset activities may be subject to enforcement action. Consumers and investors should be aware that access to memecoin platforms may be restricted without prior notice, and it is advisable to take necessary measures to safeguard personal financial security. The Virtual Assets Regulatory Authority (VARA) is the sole authority regulating virtual assets across Dubai’s free zones and mainland, except within the jurisdiction of Dubai International Financial Centre (DIFC).