Meydan
vs VARA.
Meydan versus VARA: a commercial entity vs the Dubai virtual-asset regulator. You generally need both — the underlying entity is licensed by Meydan, and the regulated activity layer is licensed by VARA. USD 10,120 for the commercial entity is in addition to USD 500k–2M year-one VARA setup.
Meydan vs VARA, line by line.
| Attribute | Meydan | VARA |
|---|---|---|
| All-in year 1 | USD 10,120 | — |
| All-in year 2 | USD 8,020 | — |
| Time to licence (working days) | 1 (Fawri instant) - 6 | 120-365 |
| Foreign ownership | 100% | 100% |
| Tax — qualifying / corporate | 0% qualifying / 9% above AED 375k | — |
| Physical office required | No | Yes |
| Annual audit required | No | No |
| Legal system | UAE civil law (federal) | — |
| Regulator | Meydan Free Zone (MBR City) | Virtual Assets Regulatory Authority (Dubai, excl. DIFC) |
| UAE double-tax treaty | n/a (UAE) | n/a (UAE) |
| Resident director required | No | No |
All figures are year-one all-in for a single-shareholder, single-activity engagement unless noted. Pricing current as of May 2026.
Pick Meydan when —
- E-commerce
- Digital services
- Downtown postcode for client-facing brands
- You want lowest-cost option (all-in from USD 10,120)
- You need fastest licence issuance (1 (Fawri instant) - 6 working days)
- You can satisfy QFZP substance + de minimis tests for 0% tax
Pick VARA when —
- Crypto exchanges
- Custodians
- Brokers
- Nft platforms
- You need fastest licence issuance (120-365 working days)
Common questions on Meydan vs VARA.
The questions UAE-resident founders most often ask before choosing between Meydan and VARA. Each answer is current to 2026.
Which is faster to set up — Meydan or VARA?
Meydan typically issues a licence in 1 (Fawri instant) - 6 working days; VARA in 120-365 working days. Both are dependent on KYC clearance speed — submit complete documentation on day one to hit the lower end of either range.
What is the tax difference between Meydan and VARA?
Meydan: 0% qualifying / 9% above AED 375k. VARA: —. Effective tax position depends on substance, residency, treaty access and structuring.
Can a foreigner own 100% of a Meydan or VARA company?
Yes for both. Meydan: 100% foreign ownership. VARA: 100% foreign ownership. No UAE national partner or sponsor required.
Do Meydan and VARA require a physical office?
VARA requires a leased office or warehouse. Meydan accepts a flexi-desk or registered address only. This is one of the biggest practical cost differences between the two.
Which has easier UAE bank account opening — Meydan or VARA?
Both are bankable in the UAE. DMCC and DIFC entities tend to clear KYC fastest (3–6 weeks); IFZA, Meydan and offshore profiles take 4–8 weeks with more questions on flexi-desk-only setups. ArxSetup introduces UAE-resident clients to Mashreq Neo Biz, WIO, Emirates NBD and RAKBANK.
Which is better for my use case — Meydan or VARA?
Meydan suits e-commerce, digital services, Downtown postcode for client-facing brands. VARA suits crypto exchanges, custodians, brokers. The right answer depends on customer location, banking needs, tax position and operating substance — book a structuring call for a written recommendation.
Meydan or VARA? A written answer.
We can produce a structured comparison memo for your specific facts — customer geography, banking needs, tax position, substance — and recommend a jurisdiction with reasoning, in writing.