VARA Issues Alert Against Unregulated VASP JPEX, Investor Caution Advised

The Virtual Assets Regulatory Authority (VARA) has issued a critical alert, drawing attention to regulatory actions being considered and initiated against the Virtual Asset Service Provider (VASP) JPEX and associated entities within its holding group.

This development is of significant importance to investors and market participants, as it sheds light on unregulated operations and false claims made by JPEX regarding its regulatory status.

Unregulated Operations

One of the primary concerns raised by VARA is that JPEX operates without the necessary regulatory oversight. It is crucial to note that JPEX is neither regulated by nor registered with VARA. Any Virtual Asset (VA) activity conducted or offered by JPEX, whether within the Emirate of Dubai or elsewhere, has not received authorization or approval from VARA.

False Claims

JPEX and certain individuals affiliated with the organization have made misleading claims about their regulatory status. VARA emphatically asserts that any statements by JPEX suggesting that it is regulated by VARA or subject to its oversight are entirely false and inaccurate.

Dubai Law No. 4 of 2022 designates all VA activities within or originating from the Emirate of Dubai as fully regulated and under VARA's purview. Consequently, if JPEX is engaged in any such activities, it is in clear violation of Dubai Law.

Unauthorised Products/Services

Additionally, VARA has noted that JPEX has not received approval for its promotional, advertising, solicitation, or marketing efforts. Consequently, JPEX is not authorized to offer, promote, or advertise its products or services, or solicit client participation within or from the Emirate of Dubai.