Dubai's virtual asset regulatory authority aims to ease the burden on small crypto companies

ChainCatcher news, according to Cointelegraph, during a regulatory panel discussion at Paris Blockchain Week, Matthew White, CEO of the Dubai Virtual Assets Regulatory Authority (VARA), stated that the digital asset regulatory agency aims to provide a more favorable environment for smaller crypto entities. He acknowledged that cryptocurrency regulation is not perfect and is looking for ways to improve it. One plan currently under consideration is to alleviate the financial burden on small crypto businesses, as compliance is a "costly endeavor." The regulatory agency has recognized this issue and is seeking solutions.

White explained a potential solution, which is a market structure example where larger participants can "host" smaller ones. In this structure, the costs would be borne by the more resource-rich entities. White also mentioned that considering issues like this is part of the process for regulators to establish rules while allowing for innovation, and they will continue to engage with the industry to better understand it.