Lunarark endeavours to ensure that the virtual assets in relation to which it provides broker-dealer services are in line with applicable laws and secure for transacting by its clients. These VA Standards are developed in line with the Market Conduct Rulebook issued by the Dubai Virtual Assets Regulatory Authority (VARA).

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To ensure that the virtual assets continue to fulfil these VA Standards, the virtual assets shall be checked for compliance with the VA Standards, at least once annually. The VA Standards shall include the following considerations:

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1. The virtual assets’ market capitalisation, fully diluted value and liquidity, and whether such metrics have trended downwards over time;
2. its design, features and use cases, whether or not intended by the issuer or developer of the virtual asset;
3. any features which may materially affect the Company’s compliance with applicable laws, VARA regulatory framework including but not limited to those relating to AML/CFT, sanctions, securities, intellectual property;  
4. regulatory treatment of the virtual asset by VARA and other appropriate authorities (including those outside of the Emirate), in particular whether the issuance of the Virtual Asset has received any regulatory approvals;
5. whether a Virtual Asset is prohibited by VARA or any other appropriate authorities (both inside and outside the UAE);
6. he security and immutability of the underlying DLT protocol;
7. its future development (e.g., “roadmap”) as communicated by the issuer and/or relevant developers;
8. whether it may be susceptible to price manipulation for any reason and relevant mitigations that will be implemented by the Company;
9. whether potential or actual conflicts of interest may arise should the Company provide Services in relation to the Virtual Asset and relevant mitigations;
10. the background of its issuer including, but not limited to, relevant experience in the sector, any investigations or claims in relation to fraud or deceit against the issuer or senior management or board.
11. if the virtual asset represents rights to any other assets, the enforceability of such rights;
12. if the Company has sufficient assets are available to satisfy any obligation when providing the Services in relation to the Virtual Asset
13. the terms and conditions associated with the virtual asset and the underlying terms to ensure that the market is not adversely affected or impacted.

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Lunarark will review all terms and conditions in relation to a supported virtual asset on a periodic basis for appropriate correlation with any physical market, to ensure that such terms and conditions conform to standards and practices in that physical market.

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Lunarark will regularly, on an ongoing basis, assess relevant information to ensure that all virtual assets that it provides services in relation to, continues to meet these VA Standards. The company reserves the right to set conditions in relation to a virtual asset that may be suspended, including where a virtual asset no longer meets these VA Standards. Further, in case of any major market developments or other external factors that may affect the ability of a virtual asset to fulfil the VA Standards, Lunarark will immediately review the virtual asset and reconfirm their suitability. Lunarark shall maintain all records relevant to such assessments for eight (8) years and provide such records for VARA’s inspection upon request.

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Lunarark will notify VARA as soon as possible, after becoming aware that a virtual asset no longer meets these VA Standards, and it will take such steps as VARA may direct, in order to minimise any adverse impact on any of Lunarark’ clients as a result.