UAE Secures Over $30bn In Crypto Investments In Just One Year: Report
The UAE has become a beacon for retail and institutional investors seeking to expand their crypto portfolios over the past decade, attracting multi-billion investments, an industry player said.
With a proactive regulatory framework, the UAE also presents investors with a balance between innovation and security, a report by FOREX.com said.
A fruitful collaboration between public and private sectors is also a major reason for the success in the sector, laying the groundwork for a sustainable crypto ecosystem in the country, it said.
“All these factors combined together have enabled Dubai and the UAE to cement their position as global leaders in the cryptocurrency industry, attracting over $30 billion in crypto investments between June 2023 and June 2024 according to Chainalysis,” said Razan Hilal, Market Analyst, CMT at FOREX.com.
At the beginning of 2025, the UAE has integrated cryptocurrency payment systems into key industries such as real estate, hospitality, travel, telecommunications, entertainment, retail, and e-commerce, the report said.
“These further positions the country to lead the global crypto space in 2025, a year which is expected to mark a defining moment for the cryptocurrency industry,” it said.
On a global level, the report said under President Donald Trump, the United States is planning to implement favourable regulations, potentially reshaping the global crypto landscape.
“Historically, the crypto market was viewed as highly risky due to irregular volatility, security concerns, and limited liquidity.
‘‘However, with anticipated favourable regulations and increased liquidity inflows in 2025, the market is expected to stabilise, reducing price spikes and fostering greater investor confidence,” Hilal said.
He said the improved environment is likely to drive increased allocations to cryptocurrency portfolios, encompassing both direct investments and derivatives like options as effective tools for risk hedging.
Hilal, however, said investors and stakeholders must remain cautious, as the crypto market remains susceptible to rapid and unpredictable changes.
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