- UAE signs CARF, first crypto data exchange set for 2028.
- Consultation open until Nov. 8 for UAE crypto stakeholders.
- CARF links UAE oversight with VARA, SCA, FSRA, and CBUAE.
The UAE Ministry of Finance has formally signed onto the Crypto-Asset Reporting Framework (CARF), binding the country to a global system for automatically sharing tax data on digital assets.
The move comes less than a year after Abu Dhabi first announced its intention to adopt CARF in November 2024, and it positions the UAE alongside other early adopters of the OECD-designed standard.
CARF Timeline: From Signing to Enforcement
According to reports, the Finance Ministry confirmed that CARF will take effect in 2027, with the first exchanges of information beginning in 2028.
Once live, the framework will require local crypto intermediaries, custodians, and platforms to report transaction and holdings data. That data will then be exchanged across jurisdictions to improve tax enforcement and transparency.
Related: UAE Regulators SCA and VARA Sign Agreement for Unified Crypto Framework
For crypto businesses in Dubai and Abu Dhabi, this timeline means a three-year runway to prepare internal systems before reporting obligations kick in.
Stakeholder Consultation: September 15 through November 8
UAE authorities consider the consultation process crucial, with the hope that participants can highlight CARF’s potential impact on the cryptocurrency sector and the areas that require further clarification.
The consultation process is ongoing. It is an 8-week event that started on September 15 and runs until November 8 via a designated link.
Multi-Layered Oversight
CARF will operate alongside the UAE’s existing regulatory agencies, that is, Securities and Commodities Authority (SCA), Dubai’s VARA, Abu Dhabi’s FSRA, and the Central Bank of the UAE (CBUAE). Each has oversight of different parts of the market, from token issuance to exchange operations. CARF adds an international tax-compliance layer that ties their work into a global framework.
The ongoing consultation aims to enhance the UAE’s regulation of its cryptocurrency sector. According to reports, the Ministry of Finance intends to use the process to develop clear and effective regulatory rules informed by the insights of experts and stakeholders, and aligned with market needs.
Related: Laser Digital Wins Dubai’s First OTC Crypto Options License Under VARA
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