Dubai is quickly establishing itself as the cryptocurrency capital of the Arab world, with the UAE seeing $34 billion (Dh124 billion) in cryptocurrency inflows over the past year, a 42% increase from 2021. This means that the UAE’s plan to go from crypto-curious to crypto-serious is bearing fruit.
According to blockchain firm Mining Grid, the UAE now has more than 500,000 crypto traders per day, making it one of the busiest digital finance destinations globally in terms of trading volume. As a region, the $338.7 billion in inflows for the Middle East ranks it as the seventh-largest crypto economy in the world. Notably, 93% of this volume came from institutional-level transactions, showing rising confidence from large-scale investors.
Much of this momentum is driven by the region’s young and tech-savvy population. More than 74% of UAE residents aged 25–34 express interest in crypto, with 21% planning to invest within the next 12 months. Platforms such as YouTube, WhatsApp, and TikTok serve as key locational points, creating a digitally interconnected generation interested in achieving financial independence through blockchain technology.
Nonetheless, this excitement presents a challenge: half of young users say they are unsure who to trust when searching for information to learn about cryptocurrency. This highlights the growing demand for high-quality education and trustworthy guidance in this field.
“The UAE has zero capital gains tax and comprehensible regulations, all while participants in the digital assets space grow, which creates ideal conditions for growth,” said Solaiman AlRifai, Founder and Board Member at Mining Grid. “The youth are also driving this growth, and it’s easy to see why the UAE is being seen as the crypto capital of the Arab world.”
The policies encourage institutional and retail investors to develop and nurture a balanced environment that is appropriate for long-term benefits.
“Dubai is not just adopting crypto—it’s engineering a technological revolution,” said AbdulAziz Osman, CEO of BitHash – a crypto mining company in the UAE. “With its cutting-edge infrastructure and progressive vision, the city is transforming into a global command center for blockchain innovation and next-gen crypto mining. At BitHash, we believe this is just the beginning of a new digital era led by the UAE.”
Other countries in the Gulf are on board, too. In Saudi Arabia, cryptocurrency activity rose 153%, largely because of young people. In Oman, $1.1 billion will be spent on green Bitcoin mining to support the country’s use of blockchain innovation in achieving its own sustainability goals.
In terms of assets, Bitcoin is still the most popular cryptocurrency in the region. Ethereum is gaining traction, particularly with tokenisation projects and real-world assets, such as real estate and bonds. Stablecoins now account for approximately 66% of all on-chain transactions, underscoring their ability to facilitate the low-cost and efficient movement of value. Mining Grid is also working on energy-efficient crypto mining, with 60,000 users worldwide.
In the future, we believe the next wave of growth will be driven by a new generation of investors using mobile-first platforms, interactive financial tools and community-based education. With clear policy and regulations, infrastructure to support this growth and a highly tech-savvy population, Dubai is well-positioned to be a leader in developing digital finance in the region.
