Glossary

Short, verifiable definitions of the terms that appear in a quote, a settlement instruction or a compliance request — each with the UAE context that changes what the term means in practice. 58 guides, newest first.

• GLOSSARY · 2026-09-29

  What is the FATF?

  The FATF sets global AML standards that CBUAE, VARA and the CMA enforce in the UAE, including the travel rule for crypto. The UAE left FATF's grey list in 2024.

• GLOSSARY · 2026-09-28

  What is proof of funds (PoF)?

  Proof of funds (PoF) explained: how it differs from source of funds, which documents UAE banks and OTC desks accept, and how long a PoF document stays valid.

• GLOSSARY · 2026-09-19

  What is BEP-20?

  BEP-20 is the token standard on BNB Smart Chain, used for Binance-linked USDT. How it compares with TRC20 and ERC20, and why network choice matters.

• GLOSSARY · 2026-09-19

  What is a memo or destination tag?

  A memo or destination tag routes a deposit to the right account on networks with shared addresses. Which assets need one, and what happens if you leave it out.

• GLOSSARY · 2026-09-19

  What is multisig?

  Multisig needs signatures from several independent keys, such as 2-of-3, before a transaction clears. What multisig means for custody and OTC settlement.

• GLOSSARY · 2026-09-19

  What is a PEP?

  A PEP (politically exposed person) holds, or held, a prominent public role. Why UAE desks ask the PEP question, and what enhanced due diligence means for you.

• GLOSSARY · 2026-09-19

  What is a chain reorganisation (reorg)?

  A chain reorganisation replaces recent blocks with a competing branch, reverting the transactions inside them. Why a licensed desk waits for confirmations.

• GLOSSARY · 2026-09-19

  What is a stablecoin?

  A stablecoin holds a stable price via fiat, crypto or algorithmic backing. What backing actually means, and why it matters when you settle a large USDT amount.

• GLOSSARY · 2026-09-19

  What is a UBO?

  A UBO is the natural person who ultimately owns or controls a company, usually at the 25% threshold under UAE AML law. Why OTC desks and banks ask for one.

• GLOSSARY · 2026-09-19

  What is a VASP?

  A VASP is any firm that exchanges, transfers or holds crypto for clients under FATF's global standard. How the term applies to VARA-licensed firms in Dubai.

• GLOSSARY · 2026-09-11

  What is the ADGM? Abu Dhabi's financial centre, explained

  ADGM is Abu Dhabi's financial centre on Al Maryah Island, regulated by the FSRA. Its virtual asset framework, and how it differs from Dubai's VARA.

• GLOSSARY · 2026-09-11

  What is a blockchain confirmation?

  A blockchain confirmation is one block added after your transaction. How many a desk waits for on TRC20 and ERC20, and when the same-day AED payout starts.

• GLOSSARY · 2026-09-11

  What is a broker-dealer?

  A broker-dealer trades assets for clients and for its own account. In Dubai this needs a VARA licence for virtual assets — the meaning and what it permits.

• GLOSSARY · 2026-09-11

  What is the CBUAE?

  The CBUAE is the Central Bank of the UAE: it licenses banks, runs the payment rails behind same-day AED settlement and holds the dirham's 3.6725 dollar peg.

• GLOSSARY · 2026-09-11

  What is a chargeback?

  A chargeback is a card payment reversed through the cardholder's bank. Why cards can be undone, crypto cannot, and what that means for a USDT sale.

• GLOSSARY · 2026-09-11

  What is a cold wallet? Offline keys, Ledger and Trezor

  A cold wallet keeps crypto private keys offline. How Ledger and Trezor work, what cold storage means in the UAE, and how to sell USDT from one.

• GLOSSARY · 2026-09-11

  What is the DIFC? Dubai's common-law financial district, explained

  The DIFC is Dubai's financial district with its own common-law courts and regulator, the DFSA. How it works, and why VARA — not the DFSA — licenses USDT desks.

• GLOSSARY · 2026-09-11

  What is the DLD? Dubai's Land Department, explained

  The DLD is the Dubai Land Department — the emirate's property registrar. What it does, how it differs from RERA, and why it matters for crypto-funded buyers.

• GLOSSARY · 2026-09-11

  What is an Emirates ID? The UAE identity card explained

  The Emirates ID is the UAE's mandatory identity card for citizens and residents, issued by the ICP. What the 784 number means and why it matters at KYC.

• GLOSSARY · 2026-09-11

  What is ERC20?

  ERC20 is Ethereum's token standard — how USDT moves on Ethereum, what gas costs, when to pick ERC20 over TRC20, and what changes when you sell at a desk.

• GLOSSARY · 2026-09-11

  What is fiat currency?

  Fiat currency is state-issued money accepted as legal tender, not backed by gold. How the dirham and the dollar work — and why it matters when you sell USDT.

• GLOSSARY · 2026-09-11

  What is the FSRA? ADGM's financial regulator in plain terms

  The FSRA regulates all finance in Abu Dhabi's ADGM free zone, including virtual-asset firms since 2018. How it differs from VARA and which register to check.

• GLOSSARY · 2026-09-11

  What is a gas fee?

  A gas fee is what a blockchain charges to process a transaction, paid by the sender in the network's own coin. Why TRC20 stays cheap and who pays when you sell.

• GLOSSARY · 2026-09-11

  What is a hot wallet? Definition, risks and settlement use

  A hot wallet is a crypto wallet connected to the internet. Definition, real risks, hot vs cold, and how to use one safely when selling USDT in Dubai.

• GLOSSARY · 2026-09-11

  What is an IBAN?

  An IBAN is the bank account number behind every AED transfer. A UAE IBAN has 23 characters starting with AE — how it is built and where to find yours.

• GLOSSARY · 2026-09-11

  What is liquidity? Why size moves the price

  Liquidity is the ability to trade size without moving the price. Where an OTC desk sources it, why bigger tickets get tighter spreads, with an AED example.

• GLOSSARY · 2026-09-11

  What is a market maker?

  A market maker is a firm that continuously quotes buy and sell prices. How makers shape the price you see, and how a Dubai OTC desk differs when you sell USDT.

• GLOSSARY · 2026-09-11

  Nostro and vostro: why a USD wire takes days

  Nostro and vostro are two views of one correspondent account between banks. Why paired ledgers set the 2–5 day SWIFT timeline for USD payouts from the UAE.

• GLOSSARY · 2026-09-11

  What is an order book?

  An order book is the live list of buy and sell orders on an exchange. How depth works, why a large order moves the price, and the OTC alternative.

• GLOSSARY · 2026-09-11

  What is a private key? Ownership, custody and safety

  A private key is the secret number that controls your crypto — whoever holds it owns the coins. How keys work, custody models, and why no desk ever asks.

• GLOSSARY · 2026-09-11

  What is a remittance corridor?

  A remittance corridor is money flowing between a specific country pair. The UAE's main corridors run to INR, PKR and PHP — costs, providers and where USDT fits.

• GLOSSARY · 2026-09-11

  What is the SCA in the UAE? The onshore securities regulator, explained

  The SCA is the UAE's federal securities and commodities regulator for onshore markets. What it covers, where VARA takes over in Dubai, and why sellers care.

• GLOSSARY · 2026-09-11

  What is a seed phrase? The master key to your crypto wallet

  A seed phrase is the 12–24 word master key to a crypto wallet. How it works, the rules that keep it safe, and why a licensed UAE desk never asks for it.

• GLOSSARY · 2026-09-11

  What is the travel rule in crypto?

  The travel rule in crypto: FATF Recommendation 16 requires sender and recipient data on transfers above ~USD 1,000. How it works in the UAE and on a USDT sale.

• GLOSSARY · 2026-09-11

  What is WPS in the UAE?

  WPS is the UAE's Wage Protection System: mandatory AED salary payments through approved banks, due by the 1st of each month. Rules, coverage and the USDT angle.

• GLOSSARY · 2026-09-10

  What is Aani? The UAE's instant payment system

  Aani is the UAE's instant payment platform: 24/7 transfers in seconds, an AED 50,000 per-transaction cap — and where it fits when you sell USDT.

• GLOSSARY · 2026-09-10

  What is AML? Anti-money laundering in plain terms

  AML (anti-money laundering) is the identity and source-of-funds checking a licensed UAE crypto desk must run. What the travel rule means for your USDT sale.

• GLOSSARY · 2026-09-10

  What is custody in crypto? Keys, custodians and segregation

  Crypto custody is who holds the private keys. Self-custody vs custodial explained, VARA segregation rules, and why custody matters when you sell USDT in Dubai.

• GLOSSARY · 2026-09-10

  What is a depeg?

  A depeg is when a stablecoin trades away from the price it is designed to track. The episodes that mattered, and what a discount to $1 costs a Dubai seller.

• GLOSSARY · 2026-09-10

  What is EDD? Extra checks on large UAE sales

  Enhanced due diligence (EDD) is a deeper compliance check on large or unusual trades. What triggers it in the UAE, how long it takes, and how to clear it fast.

• GLOSSARY · 2026-09-10

  What is escrow in UAE real estate?

  Escrow in UAE real estate is a RERA-registered trust account holding off-plan instalments until construction milestones. How it works — and how crypto funds it.

• GLOSSARY · 2026-09-10

  What is KYC? Know Your Customer checks in the UAE

  KYC (Know Your Customer) is the identity check every licensed crypto desk in the UAE runs before trading: the documents, the timing and why it matters.

• GLOSSARY · 2026-09-10

  What is an LEI code?

  An LEI (Legal Entity Identifier) is a 20-character code that identifies a company in financial transactions worldwide. How to check a counterparty by LEI.

• GLOSSARY · 2026-09-10

  What is the mid price?

  The mid price is the midpoint between the best bid and ask for USDT. Why Dubai OTC desks quote against it, a worked example, and how to check it yourself.

• GLOSSARY · 2026-09-10

  What are fiat on-ramps and off-ramps?

  Fiat on-ramps and off-ramps explained for the UAE: what each does, the three types in Dubai, real costs from 0.08%, and how to pick a licensed one.

• GLOSSARY · 2026-09-10

  What is an OTC desk?

  An OTC desk trades large amounts of crypto directly with you at one agreed price, off the exchange order book. Definition, UAE rules, who it suits, example.

• GLOSSARY · 2026-09-10

  What is a currency peg?

  A currency peg fixes one currency to another at a set rate. The UAE dirham has been pegged at AED 3.6725 per US dollar since 1997 — what it means for USDT.

• GLOSSARY · 2026-09-10

  What is RERA? Dubai's real estate regulator, explained

  RERA is Dubai's Real Estate Regulatory Agency under the Dubai Land Department. What it regulates and why it matters for a crypto-funded purchase.

• GLOSSARY · 2026-09-10

  What is an RFQ? How a desk quotes size

  RFQ (request for quote) explained: how a licensed OTC desk in Dubai prices a large USDT trade with one all-in price and a fixed validity window. Example inside.

• GLOSSARY · 2026-09-10

  Segregated client account: a VARA rule

  A segregated client account keeps client money apart from an OTC desk's own funds. What it is, what it is not, and how licensed Dubai desks hold your money.

• GLOSSARY · 2026-09-10

  What is settlement finality?

  Settlement finality is the point where a payment can no longer be reversed. How network confirmations differ from bank crediting when you sell USDT in Dubai.

• GLOSSARY · 2026-09-10

  What is slippage?

  Slippage is the gap between the price you expect and the price you get. Where it comes from on an exchange, a worked example in AED, and why OTC removes it.

• GLOSSARY · 2026-09-10

  What is source of funds (SoF)?

  Source of funds (SoF) explained: the definition, the documents UAE banks and licensed desks accept as proof, and why the file decides how fast a sale settles.

• GLOSSARY · 2026-09-10

  What is a spread?

  A spread is the gap between buy and sell price. How bid and ask work, why OTC quotes are all-in, and what a 0.08–0.40% spread costs in AED at the 3.6725 peg.

• GLOSSARY · 2026-09-10

  What is a SWIFT wire? The term, defined for UAE settlements

  A SWIFT wire is an international bank transfer sent over the SWIFT messaging network: who runs SWIFT, what it is not, and what 'USD by SWIFT' means in a quote.

• GLOSSARY · 2026-09-10

  What is TRC20?

  TRC20 is Tron's token standard and the default network for USDT in the UAE. Fees, crediting time, address format and what changes when you sell USDT.

• GLOSSARY · 2026-09-10

  What is UAEFTS? The UAE Funds Transfer System, defined

  UAEFTS is the UAE Funds Transfer System, the Central Bank's real-time gross settlement rail for dirhams: who runs it, what it is not, what it means in a quote.

• GLOSSARY · 2026-09-10

  What is address and account whitelisting?

  Address and account whitelisting limits crypto withdrawals and bank payouts to pre-approved, own-name destinations. How it works at UAE OTC desks.