11.4 % of UAE residents, including in Dubai, have invested in crypto.
These include those who reside in Dubai, which is the most famous city in the United Arab Emirates (UAE).
This figure comes from a recent official report by the Telecommunications and Digital Government Regulatory Authority (TDRA), i.e., the UAE’s telecommunications regulatory agency.
— تدرا 🇦🇪 TDRA (@tdrauae) August 31, 2022
In other words, more than one-tenth of the UAE’s entire population owns cryptocurrencies. This would make the country tenth globally in terms of cryptocurrency investment penetration.
Dubai becomes increasingly crypto-friendly
The UAE is already the most important crypto hub in the Middle East, and West Asia, but it would like to become a global hub as well.
Indeed, several crypto experts have had favorable views on, for example, how the country promotes and encourages the adoption of virtual currencies through the Abu Dhabi Global Markets and Digital Asset Regulatory Authority.
Notably, Dubai itself is the country’s crypto center, thanks to the Dubai Multi Commodities Center (DMCC), a free zone dedicated to trade and commodity businesses. Some time ago DMCC launched its Crypto Centre, a comprehensive ecosystem for crypto companies that has already registered thousands of trades in digital assets and cryptocurrency companies.
While the UAE’s policy toward cryptocurrencies aims to make them more convenient and effective for citizens to use, it aims above all to attract crypto companies to its territory.
Recently, the Virtual Asset Regulatory Authority (VARA) in Dubai, unveiled guidelines for the marketing and promotion of virtual assets applicable to any entity using media sites and publishing channels based in the city itself. In addition, last February, Dubai launched the Virtual Resources Regulation Law to strengthen the emirate’s commitment to creating a crypto-friendly ecosystem.
Dubai builds an attractive environment for companies in the sector
Of course, doing this to the best of its ability also requires fostering citizen adoption, but the main goal is to become a world-class crypto hub for companies operating in the sector.
Let’s not forget that Dubai only has a population of 3.5 million, and the UAE as a whole has less than 10 million. This is overall a far smaller population than, for example, the number of users of the world’s largest crypto exchanges.
That is why the real difference the UAE can make is mainly in the crypto markets and in particular through companies that would decide to move there.
That is why that 11.4% is only a relatively interesting figure, because what matters more is instead the regulatory, fiscal, economic and financial framework that the UAE is putting in place to become as crypto-friendly as possible.
Dubai Capital of Web 3
Recently, His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, has also developed a metaverse entry strategy for the city of Dubai, and this has made the city a center of Web 3 industry development.
Dubai has long already been home to at least 1,000 companies operating in the crypto sector, and now, thanks to the Dubai Metaverse Strategy, the city is expected to create more than 40,000 jobs through Web 3 by 2030 and add $4 billion to Dubai’s economy in five years.