Dubai’s Crypto Regulator Alerts Investors On New Memecoins Flooding Market

Dubai’s Crypto regulatory body has been related an alert about the risks related to Memecoin Investments Owing to their Increasing Market Phentration. The Virtual Assets Regulatory Authority (Vara) of Dubai has been strictly asked the City’s Investor Community to Be Cautious While Engaging With MemeCoins, Calling Them “Calling them“ Height SPECULAVE ”. As per Vara, Memecoins Pose a Significant Risk of Financial Loss to that who engage with it. Earlier this month, the commissioner of the US sec

Vara was Establaired in March 2022 to oversee the crypto industry in Dubai. In recent months, the regulatory body has stepped up scrutiny over unregulated and risky digital assets.

Last week, in an official postVara Highlighted its Concerns with MemeCoins, A Category of Crypto Assets Branded After Trending Social Media Personalities, Animals, Or Memes. Dogcoin and shiba inu are among popular memecoins that have managed to carve a niche for this category of crypto tokens in the broader market.

“Memecoins are frequently subjected to market manipulation. Many Such Assets Lack Intrinsic Value and DERIVE GIR PRICING From Social Media Trends, Hype, Or Misleading Promotional Strategies, “Vara said in its statement.

The regulatory body has advised investors to refrain from engaging with newly launched Memecoins, especially the only the ones that class to fetch unrealistic returns to the investors. The body has been the power to restrint any social Memecoin Project with Prior Notice. It has advised crypto investors to protect their finances against questionable projects with fact of market history and fraudulent patterns.

The authority, meaning, have also warned crypto projects and firms from promoting unregister tokens in Dubai.

“Any promotion, advertising, or solicitation of virtual assets must adhere to Vara’s marketing regulations. Entities Engaging in Unauthorized Virtual Asset Activities May Be Subject to Enforcement Action, ”It added.

In a recent interview with BloombergSec Commissioner Hester Peerce also addressed the Memecoin Mainace. He said that many memecoins do not complete with current regulations in the US and asked the Congress and the Commodity Futures Futures Trading Commission to Address CONCERNS AROUNS AROUNS AROUNS AROUNS AROUNS AROUNS AROUNS ARAONS

As per ForbesThe Memecoin Market Valuation Stands at $ 60.04 Billion (Roughly Rs. 5,21,641 Crore). Dogecoin, Shiba Inu, Pepe, Bonk, And Floki have been listed by forbes as the top five Memecoins by Market Cap.