What is the SCA in the UAE? The onshore securities regulator, explained
The SCA — the Securities and Commodities Authority — is the UAE's federal regulator for onshore securities and commodities markets, established in 2000. It licenses brokers and funds and supervises the ADX and DFM exchanges, while virtual assets in Dubai outside the DIFC fall to VARA.
KEY FACTS
| Full name | Securities and Commodities Authority (SCA) |
|---|---|
| Jurisdiction | Onshore UAE — outside the DIFC and ADGM |
| Established | 2000, under Federal Law No. 4 of 2000; now operating as the Capital Market Authority (CMA), as of September 2026 |
| Supervises | ADX and DFM exchanges, brokers, investment funds |
| Virtual assets in Dubai (excl. DIFC) | VARA, not the SCA |
| Conversion cost at IWGT | 0.08%–0.40% all-in spread, by ticket size |
Source: Securities and Commodities Authority and IWGT published pricing bands, as of September 2026.
What does the SCA do in the UAE?
The SCA licenses and supervises the UAE's onshore capital markets: the ADX and DFM exchanges, brokers, investment funds and listed companies. Established in 2000 under Federal Law No. 4 of 2000, it now operates as the Capital Market Authority (CMA), the name on its portal and register as of September 2026. The DFSA in the DIFC and the FSRA in ADGM run their own regimes; an SCA licence has no force inside either.
Where does the SCA's remit end and VARA's begin?
The federal authority sets the virtual-asset rules outside Dubai and the financial free zones. Since Dubai Law No. 4 of 2022, virtual-asset activity in Dubai outside the DIFC is licensed by VARA, so a Dubai OTC desk holds a VARA Broker-Dealer licence, not an SCA one. Under a September 2024 cooperation agreement, a VARA-licensed provider is registered by default with the federal regulator to serve the wider UAE; each licence still names its own territory and register. See the Dubai vs Abu Dhabi crypto rules comparison.
Why it matters when selling USDT in the UAE
An "SCA-licensed broker" offering to buy your USDT in Dubai is citing a securities licence that does not cover that activity in that emirate. The number must resolve in VARA's register for the right activity: the one-minute test is in checking a VARA licence before you trade.
Illustrative example
You sell 400,000 USDT to a VARA-licensed desk at a 0.20% all-in spread, inside the published spread bands, as of September 2026. At the 3.6725 peg that is AED 1,469,000 less AED 2,938 of spread: AED 1,466,062 in your own bank account. The SCA appears nowhere in that chain.
FAQ
Is the SCA the same as VARA?
No. The SCA is the federal regulator for onshore securities and commodities markets across the UAE, while VARA regulates virtual assets in the emirate of Dubai outside the DIFC under Dubai Law No. 4 of 2022. A Dubai crypto desk holds a VARA licence, not an SCA one.
Does an SCA licence cover selling USDT in Dubai?
No. An SCA licence — now issued under the Capital Market Authority (CMA) name — covers onshore securities and commodities business, and the federal virtual-asset framework applies outside Dubai. Virtual-asset dealing in Dubai outside the DIFC requires a VARA licence for the specific activity.
Which exchanges does the SCA supervise?
The SCA supervises the UAE's two onshore exchanges: the Abu Dhabi Securities Exchange (ADX) and the Dubai Financial Market (DFM). Nasdaq Dubai sits inside the DIFC and is regulated by the DFSA instead.
Who regulates crypto in the UAE outside Dubai?
Outside Dubai the federal role for virtual-asset activity sits with the Capital Market Authority (CMA), the federal regulator formerly branded as the SCA, while the DIFC has the DFSA and ADGM has the FSRA. Ask any provider which regulator's register its licence resolves in before trading.
Selling USDT under the right licence?
IWGT is a VARA-licensed Broker-Dealer in Dubai, licence VL/24/12/002. All-in spread 0.08–0.40% by ticket size, published openly. AED reaches your own account by UAEFTS the same business day once your account is approved.
SOURCES
- Securities and Commodities Authority — official portal, accessed 11 September 2026.
- VARA public register — licence status check, accessed 11 September 2026.
- IWGT published pricing bands and onboarding requirements, September 2026.
- SCA and VARA set regulatory framework for the UAE's virtual assets sector — CMA (formerly SCA) press release, 9 September 2024, accessed 21 September 2026.
- Capital Market Authority — About us (objectives under Federal Law No. 4 of 2000), accessed 21 September 2026.
This guide is informational and is not legal, tax or investment advice, nor an invitation to buy or sell any virtual asset. Rules and figures are as of September 2026 — re-check the sources before acting. Virtual assets may lose their value in full or in part and are subject to extreme volatility.