Morpheus FUZE has accepted the identified findings and proposed a remedy strategy. VARA has not disclosed the financial penalty that Morpheus will pay. Morpheus recently closed a Series A funding round with $12.2 million led by Galaxy Dubai’s virtual asset regulator has taken enforcement action against a local blockchain company, Morpheus Software Technology (also known as Fuze), finding it guilty of violating its operating license. According to the Virtual Assets Regulatory Authority (VARA), an investigation that began in mid-April 2025 found that Fuze had conducted ‘unlicensed virtual asset activities,’ failed to implement proper anti-money laundering (AML) procedures, and lacked regulated internal governance measures. In its official statement, VARA confirmed it has imposed a financial penalty against the company. “In light of the aforementioned failures, VARA has taken enforcement actions, including the imposition of a financial penalty against Morpheus (Fuze). VARA notes that Morpheus (Fuze) has accepted the findings identified, and proposed a plan to remedy the aforementioned breaches,” VARA noted . Related: UAE Travelers Can Now Book F… The post Dubai’s VARA Fines Morpheus for AML and Internal Compliance Failures appeared first on Coin Edition .
