As of January 2026, the UAE's Securities and Commodities Authority (SCA) was replaced by the Capital Markets Authority (CMA) under new federal decree-laws. Existing SCA licenses remain valid under the CMA, but "SCA-regulated" is now the older name for the same UAE onshore regulatory framework. If a broker's marketing still says "SCA-regulated," it's worth confirming directly with the regulator's public register whether that license has since transitioned to CMA.
What the CMA (Formerly SCA) Actually Regulates
The CMA oversees non-banking financial activity in the UAE, including onshore forex and CFD brokerage, and supervises exchanges such as the Dubai Financial Market (DFM), the Abu Dhabi Securities Exchange (ADX) and the Dubai Gold & Commodities Exchange (DGCX). A CMA license is one route to legally offer forex and CFD services to UAE residents from an onshore UAE entity.
CMA vs. DFSA vs. Offshore Regulation
UAE-facing brokers typically fall into one of three regulatory categories, and it matters which one applies to the entity you're actually signing up with:
- CMA (onshore UAE) — regulates companies operating under UAE federal law, with retail leverage caps generally around 1:50 on major forex pairs.
- DFSA (Dubai International Financial Centre) — a separate regulator operating within the DIFC free zone, generally considered a stricter framework with lower retail leverage limits.
- Offshore / international regulation — many brokers serving UAE clients operate under licenses from jurisdictions such as Cyprus (CySEC), Mauritius, or other international regulators, while maintaining a UAE office for sales and support. These entities are not CMA-regulated, even if they have a Dubai address.
None of these categories is automatically "better" for every trader — they trade off leverage limits, product range and investor-protection rules differently. See Offshore vs UAE-Regulated Forex Brokers: What's the Real Difference? for a deeper comparison.
How to Verify a Broker's Real Regulatory Status
- Check the entity name in the broker's terms and conditions or footer disclosures — not just the brand name
- Search that specific legal entity, not the brand, on the relevant regulator's public register
- Confirm which entity you are actually contracting with when you open an account
For the full step-by-step process, read How to Verify a Forex Broker's License in the UAE. This complements our general overview in Is Forex Trading Legal in the UAE?.
Client Fund Protection
Regulated brokers, whether under CMA or an international regulator, are generally required to keep client funds in segregated accounts, separate from the company's own operating capital. This doesn't eliminate risk — CFDs are inherently leveraged and volatile — but it does mean your deposited capital shouldn't be commingled with the broker's business funds. See Client Fund Segregation: How UAE Brokers Protect Your Money for what this protects against and what it doesn't.
Frequently Asked Questions
Is SCA still the correct term to use in 2026?
Not strictly. SCA was succeeded by the CMA in January 2026. Existing SCA licenses remain valid, but new references should use CMA, noting the former SCA name where useful for search recognition.
Does CMA regulation apply to every broker with a Dubai office?
No. Having a Dubai office or UAE phone number doesn't mean a broker is CMA-regulated — many operate under offshore or international licenses instead. Always check the specific legal entity named in the account agreement.
What leverage does CMA regulation allow?
CMA rules generally cap retail leverage around 1:50 on major forex pairs, with lower caps on minors, commodities and stocks. Brokers regulated elsewhere may offer different leverage limits under their own regulator's rules.
Is my money protected if my broker becomes insolvent?
Segregated client accounts reduce — but do not eliminate — this risk. There is currently no UAE-wide investor compensation scheme comparable to those in some other jurisdictions, so segregation and regulatory standing both matter.
Review SmartFIN's regulatory disclosures and entities directly on the Home page footer before opening an account.
