Crypto
Mar 25, 2025
Consider you are ready to launch your new Web3 project in Dubai. You have a brilliant idea, a talented team, and a fantastic product. But then, reality hits. You realize you need a legal crypto license to avoid regulatory headaches.
Fortunately, the DMCC crypto license is one of Dubai's fastest and easiest ways to get compliant and operational. In this Web3 Dubai guide, we’ll cover the DMCC crypto license, the requirements, the benefits of having one, and how we can help you get your license.
Table of Contents
Who Needs a DMCC Crypto License?
A DMCC (Dubai Multi Commodities Centre) crypto license is required for individuals or entities intending to engage in cryptocurrency-related activities within the DMCC Free Zone in Dubai. This license legitimizes operations involving virtual assets and ensures compliance with local regulations.
Crypto License for Proprietary Trading
Entities planning to conduct the following activities within the DMCC Free Zone must obtain a crypto license: Engaging in the buying and selling of crypto commodities on one's account.
Crypto License for Distributed Ledger Technology
Providing services related to blockchain technologies, such as developing and maintaining decentralized applications.
Crypto License for NFT E-Marketplaces
Operating platforms for creating, selling, or exchanging Non-Fungible Tokens (NFTs).
Crypto License for Metaverse Services
Offering products or services related to virtual environments and augmented reality experiences.
Crypto License for Crypto Mining
Activities related to the validation of transactions and the addition of new blocks to a blockchain network. For activities regulated by the Virtual Asset Regulatory Authority (VARA), such as operating a cryptocurrency exchange or providing custodial services, an additional license from VARA is required in conjunction with the DMCC license.
Related Reading
• Is Crypto Trading Legal in UAE
• UAE Crypto
• VARA License Cost
Requirements for DMCC Crypto License
Pinpointing Your Crypto Focus: What Business Activities Fit the DMCC License?
Before you apply for a DMCC crypto license, you must specify the cryptocurrency-related business activities your company intends to conduct. The DMCC allows for a range of activities, including:
Proprietary trading in crypto commodities.
Providing distributed ledger technology services.
Operating NFT marketplaces.
Offering metaverse-related services.
Engaging in crypto mining operations.
Each activity may have specific guidelines and compliance standards.
Establishing Your Company in the DMCC Free Zone
To obtain a DMCC crypto license, you must establish a business within the DMCC Free Zone. The initial step in this process is selecting a legal structure. The DMCC allows for a few different types of entities, but the most common licensing options are a Free Zone Company (FZCO) and a Free Zone Establishment (FZE). Next, you must reserve a trade name for your business that adheres to DMCC naming conventions. Finally, you must secure a physical office space within the DMCC. Note that virtual offices are not permitted.
Gathering the Required Documentation
You must gather the required documentation before applying for a DMCC crypto license. This includes:
Passport Copies
For all shareholders and directors.
Proof of Address
Recent utility bills or tenancy contracts.
Business Plan
A comprehensive plan detailing business activities, financial projections, and operational strategies.
No Objection Certificate (NOC)
From current sponsors or employers, if applicable.
Compliance and Risk Assessment Policies
Documents outlining measures for anti-money laundering (AML) and combating the financing of terrorism (CFT).
Understanding the Financial Commitments
There are several financial requirements when obtaining a DMCC crypto license. First, you must deposit share capital into a UAE bank account. While this amount can vary depending on business activity, the minimum requirement is typically AED 50,000. In addition, you will need to pay the following fees:
Application Fee
A one-time fee is charged for processing the application.
Registration Fee
Fee for company registration.
License Fee
The annual fee is based on the chosen business activity.
Complying With DMCC Regulations and Procedures
The DMCC takes compliance seriously and has established specific requirements for licensed crypto companies. First, for certain crypto activities, you may need to obtain third-party approvals from relevant authorities, such as the Virtual Asset Regulatory Authority (VARA). Next, your company must develop and implement anti-money laundering (AML) and know-your-customer (KYC) procedures. Lastly, the DMCC may mandate specific insurance coverage for your operations.
Submitting Your Application for Review
Once you have completed all the above steps, you can submit your application for the DMCC crypto license. The DMCC requires you to submit your application and all supporting documents through their online portal. After receiving your application, the DMCC will review your submission and may request additional information, including an interview with company stakeholders.
Receiving Your License and Maintaining Compliance
Once you receive approval for your DMCC crypto license, you can collect your license and begin operations. However, obtaining your license is just the first step. Your company must maintain ongoing compliance with DMCC regulations to remain in good standing. This includes timely license renewal, maintaining accurate financial records, and submitting annual audits.
How to Get DMCC Crypto License in 8 Simple Steps
1. Smooth Legal Solutions with Ape Law
Establishing a cryptocurrency business in Dubai can be challenging. Ape Law simplifies the process. We are a team of legal experts with in-depth knowledge of Web3 and the cryptocurrency industry. When you partner with us, we handle all the legal aspects of your business so you can focus on growth. This includes crypto licensing, business structuring, and compliance, whether launching a new coin, token, or NFT, expanding operations, or optimizing for tax efficiency. We ensure your setup is smooth and legally sound. Book a free consultation today to get started.
2. Create Your Legal Entity
The first step in obtaining a DMCC crypto license is registering a legal entity in the DMCC Free Zone. This process begins by selecting a suitable company structure, such as a Free Zone Company (FZCO) or Free Zone Establishment (FZE). Next, you must choose a unique trade name for your business and reserve it. Your chosen name must adhere to DMCC’s naming conventions.
3. Specify Your Business Activities
The next step is to define the cryptocurrency-related activities your business will undertake. DMCC has a broad scope of permissible activities, which include:
Proprietary trading in crypto commodities
Providing distributed ledger technology services
Operating NFT marketplaces
Offering metaverse-related services
Engaging in crypto mining operations
Each activity has specific compliance requirements that your business must address.
4. Gather the Necessary Documentation
Before applying for your crypto license, you need to prepare several documents, including:
Business Plan
Develop a comprehensive business plan detailing your company's objectives, operational strategies, financial projections, and market analysis.
Compliance Policies
Draft Anti-Money Laundering (AML) and Know Your Customer (KYC) policies to demonstrate adherence to financial regulations.
Shareholder and Director Information
Provide all shareholders and directors passport copies, proof of address, and resumes.
Financial Statements
Submit financial statements or bank reference letters to showcase the economic stability of the shareholders.
5. Get Your Office Space
DMCC requires businesses to maintain a physical presence in the Free Zone. As such, you must lease office space before applying for your crypto license. Virtual offices are not permitted. Additionally, your office must meet the minimum size requirements DMCC sets for your chosen business activities.
6. Prepare for Capital and Fee Requirements
A cryptocurrency business seeking a DMCC crypto license must meet specific capital requirements. First, deposit a minimum share of capital into a corporate bank account. The amount varies based on the business activities but often starts from AED 50,000. You also need to budget for licensing fees. DMCC crypto license options are cost-effective, with initial costs starting at $20,000.
7. Submit Your Application and Wait for Approval
Once you gather the necessary documents and prepare for licensing fees, you can submit your application to DMCC. The review process may take 7 to 10 business days. During this time, DMCC may conduct background checks and evaluate your business plan and compliance policies to ensure they meet regulatory standards.
8. Maintain Compliance After Licensing
Obtaining your DMCC crypto license is just the beginning. To keep its license in good standing, your business must comply with DMCC regulations. This includes timely license renewal, maintaining accurate financial records, and submitting annual audits. You should also complete the setup of your business operations, including hiring staff, implementing IT infrastructure, and establishing internal processes.
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Benefits of DMCC Crypto License in UAE
Tax Incentives: DMCC Crypto License Benefits
Companies holding a DMCC crypto license are exempt from the 9% federal corporate tax, provided they operate outside the UAE mainland and do not engage with UAE residents. Licensed entities benefit from zero customs duties within the Gulf Cooperation Council (GCC), facilitating smooth trade and export opportunities.
Full Foreign Ownership: DMCC Crypto License Benefits
DMCC permits 100% foreign ownership without requiring a local partner, granting entrepreneurs complete control over their businesses.
Cost-Effective Setup: DMCC Crypto License Benefits
The DMCC offers a cost-effective licensing process, with total initial costs starting as low as $20,000.
Access to Specialized Infrastructure: DMCC Crypto License Benefits
The DMCC Crypto Centre provides tailored licenses and a range of incentives for crypto businesses, supporting growth and innovation in the sector.
Regulatory Support and Compliance Guidance: DMCC Crypto License Benefits
DMCC aligns its business registration processes with the Virtual Asset Regulatory Authority (VARA) requirements, offering guidance to companies navigating the regulatory landscape.
Enhanced Business Credibility: DMCC Crypto License Benefits
Operating under a DMCC license enhances a company's credibility, as DMCC is recognized as a leading free zone and has been named the number one global free zone for eight consecutive years by the Financial Times' fDi Magazine.
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