Dubai's financial regulator has rolled out stricter cryptocurrency compliance rules that immediately affect the market. Privacy-focused coins including Monero and Zcash are now prohibited, along with any mixing or tumbler services designed to obscure transaction trails. The ban extends to all transaction-hiding mechanisms operating within the jurisdiction.

The regulatory shift also tightens stablecoin requirements significantly. Only fiat-backed tokens with verified reserves now qualify for operation. Algorithmic stablecoins—those without direct asset backing—face restrictions under the new framework. This move signals a clear preference for transparency and reserve-backed stability mechanisms over algorithmic models in the region's crypto ecosystem.