Crypto businessman Nazaryan barred from leaving UAE over $55 million fine

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Crypto entrepreneur Arut Nazaryan, convicted in the United Arab Emirates (UAE) for operating a cryptocurrency platform without the necessary license, faces significant restrictions even after serving his prison sentence, according to the Russian news outlet "Baza".

Nazaryan has been in custody for about 5 months. Initially, prosecutors sought a 6-year prison term, but the court sentenced him to 2 years in prison. Efforts to appeal the ruling were unsuccessful.

An additional challenge for the entrepreneur is a substantial financial penalty. The court ordered him to pay 200 million dirhams (approximately $54 million). The amount was reportedly based on the total volume of transactions conducted through the cryptocurrency platform.

Under UAE law, Nazaryan will not be allowed to leave the country until he fully settles his financial obligations. He has previously stated that he is facing severe financial difficulties, with a significant portion of his assets lost. To repay his debts, he has been forced to sell off property and vehicles.

In 2022, the businessman announced the bankruptcy and closure of his cryptocurrency exchange Bistox, which later became the subject of an investigation by local authorities.

Before his legal troubles, Nazaryan was known not only as an entrepreneur but also as a musician under the stage name Arut. He collaborated with several popular artists.

In his public statements, Nazaryan recounted that he moved to the UAE from Uzbekistan in 2014. Starting his career as a sales consultant, he later shifted to cryptocurrency investments and developed his own business in this field.