The Dubai Financial Services Authority has shifted compliance responsibilities under its updated crypto framework. Effective January 12, licensed firms operating in the DIFC now bear direct accountability for conducting token suitability assessments—a move that tightens oversight on financial institutions rather than placing burden on external regulators.

The new Crypto Token Regulatory Framework brings stricter guardrails across the sector. Privacy-focused tokens face an outright ban, reflecting global regulatory trends toward transaction transparency. Equally significant, stablecoin issuance requirements have been substantially tightened, restricting how these instruments can operate within the jurisdiction.

This framework signals the DIFC's intent to balance innovation with consumer protection. By making licensed firms the primary gatekeepers for token compliance, the authority creates clearer accountability chains while maintaining its supervisory authority over the broader ecosystem.