A new frontier: Dubai’s virtual assets regulator will be first in metaverse – Dubai’s Virtual Assets Regulatory Authority (VARA) announced on Tuesday that it would become the world’s first regulator to enter the metaverse.
The authority will establish its metaverse HQ in the virtual world “The Sandbox,” an ethereum blockchain-based application backed by Japanese investment conglomerate SoftBank, that allows users to create, sell and purchase digital assets.
VARA said in a statement that its move into the metaverse is an attempt at making the regulator “accessible to its industry in their environment, and facilitate collaborative engagement between global Virtual Asset Service Providers, Industry Thought-leaders, and International Regulatory Authorities.”
Established by Sheikh Mohammed bin Rashid, vice president and ruler of Dubai, VARA is governed under the Dubai Virtual Asset Regulation Law, the first law in the emirate that regulates virtual assets.
The expansion into the metaverse is part of Dubai’s strategy to create a prototype decentralized regulator model.
VARA also aims to make the model accessible to government and industry leaders, other authorities, and virtual asset service providers to help shape the future digital economy, The Executive Office said in a statement on Tuesday.
VARA’s MetaHQ will reportedly serve as the primary channel to engage global virtual asset service providers to initiate applications, welcome new licensees, share expertise and drive worldwide interoperability.
The MetaHQ will “enable the dynamic virtual assets sector to build economic resilience, accelerate social inclusion and address environmental sustainability,” said Sheikh Hamdan bin Mohammed bin Rashid Al-Maktoum, the crown prince of Dubai.
“Our presence in the metaverse, therefore, marks the beginning of a new phase in the Dubai government’s march for the future, one that will have a positive impact in the long run.”