UAE seeks to protect investors with ‘finfluencer’ licence

Individuals in the UAE offering investment analysis, recommendations, and financial promotions across digital platforms will be required to get a ‘finfluencer’ licence in a move meant to bolster investor protection.

The UAE’s Securities and Commodities Authority (SCA) has launched the region’s first such licence, designed to supervise and formalise digital financial content, according to a statement published Wednesday.

Waleed Saeed Al Awadhi, CEO of the SCA, said the licence “is not merely a regulatory measure; it is a strategic move to redefine the role of regulators in the digital economy”.

“The SCA aspires to elevate global benchmarks of market integrity, foster transparency, and nurture a disciplined and trustworthy financial environment,” he added.

This initiative comes as part of a package of measures adopted by the SCA to align its regulatory framework with the fast-moving landscape of digital finance.

It has waived registration, renewal and legal consultation fees related to this service, for a period of three years in an effort to eliminate government bureaucracy and promote financial innovation within a robust legal and regulatory framework.

A ‘finfluencer’ is an individual registered with the SCA to provide financial recommendations related to the purchase, sale, or holding of a financial product or virtual asset, or to offer recommendations related to a financial service or any local resource within the country.

This initiative is integral to the SCA’s overarching strategic vision of elevating the UAE’s position as a leading regional and global financial hub, it said.