Dubai's Virtual Assets Regulatory Authority (VARA) suspended the conditional license of cryptocurrency exchange BitOasis and started enforcement action just three months after issuing the license.
Regulatory Authority Declared BitOasis Couldn't Fulfill Required Conditions Within Specified Timeframes
According to VARA, BitOasis is currently under scrutiny for failing to meet the mandatory requirements to undertake any market activity regulated by VARA.
In the statement released by the regulatory agency on Monday, the importance of fulfilling these conditions within the determined 30-60 day time frame was emphasized.
BitOasis, which received its license in April, acknowledged its suspension and emphasized its commitment to working closely with VARA to meet the requirements.
The exchange announced that the license specifically covers institutional and qualified investors and does not yet serve these customer categories.
The suspension of the conditional license does not affect BitOasis' continued availability of broker dealer services to existing retail users.
However, the exchange stated that it will refrain from accepting new clients until it fully complies with the requirements set by VARA.
This shows that even if a license has been obtained from any country, an inconsistent behavior in the ongoing process may cause the license to be cancelled.
*Not investment advice.