Held in Madinat Jumeirah, one of Dubai’s most iconic settings, the conference venue served up a refreshing blend of an old-world-style winding souk against the backdrop of a palm-fringed beach, with the Burj al Arab, the world’s only 7-star hotel, rising like a sail in the distance.
That’s one of the most notable quirks of Dubai: the contrast of the old and new; the striking dichotomy between progress and tradition. Automated e-gates welcome you at the airport, spotless hotels provide the ultimate in comfort and style, and Bedouins tend camels in the timeless desert sands.
More and more crypto companies are opening offices in this vibrant land, and almost every second person I interviewed had either established or was thinking about establishing a presence here. What draws them to this shiny city of shisha, shawarma, and superlatives?
“Over the past year, we’ve seen the global crypto ecosystem evolve from a speculative wave to a more utility-driven era. In Dubai specifically, the ecosystem has matured dramatically. There’s been a marked increase in developer activity, ecosystem events, and an influx of top-tier talent and founders, many of whom now call Dubai home, rather than just passing through.”
Dubai’s strategic location at the crossroads of Europe, Asia, and Africa lends significant advantages to businesses and investors, as a natural gateway for tourism and trade. Dr. Alzarouni explains:
“Companies are drawn to the city not just for its policy environment, but for its access to capital, exceptional quality of life, and a government that truly collaborates with the private sector.”
“Strategically located in the heart of the region that has been characterized by its recent transition from oil to tech and culture-driven economies, Dubai has established itself as one of the most important crypto industry hubs in the past few years.”
“You need to have a vibrant market, and Dubai is as vibrant as it gets! It’s not just investors, it’s people building, it’s talent, and it attracts capital and growth. We have dozens and dozens of companies in our portfolio that are now in the UAE, and they weren’t in the UAE before.”
“Dubai’s strategic position as a global hub with strong international connectivity, a deep technical talent pool, and a safe environment has helped it emerge as one of the most dynamic centers for blockchain innovation. Through our local software development entity, we are able to contribute to this momentum.”
Dubai’s Securities and Commodities Authority (SCA) establishes legal guidelines for the sector, while the Virtual Assets Regulatory Authority (VARA), recognized as the world’s first independent digital assets regulator, oversees and tests new virtual asset activities in a controlled environment.
Free zones like the DIFC and the DMCC provide additional operational flexibility. Notably, the DIFC has introduced a Digital Assets Law that clearly defines the rules for managing and transferring digital assets. Dr. Alzarouni commented:
“Dubai is one of the few jurisdictions globally that offers a coherent, progressive regulatory environment while actively encouraging innovation. We’ve also seen a growing number of exchanges, VASPs, and infrastructure providers either relocate their headquarters to Dubai or establish strategic satellite offices here. This, combined with clear regulatory frameworks like VARA’s full rulebooks, has boosted institutional participation and accelerated the adoption of real-world blockchain use cases such as tokenized assets, on-chain finance, and decentralized identity.”
“When there was a time of regulatory uncertainty, a lot of firms flocked to the Middle East. I’m very pleased to say that the Middle East didn’t just hand out licenses easily. They put together a rigorous due diligence and weeded out a lot of firms that were scammy or fraudulent, and you have a lot of good firms here, crypto founders and OGs, leading the way with that pioneering energy.”
El-Baz stated:
“Securing the VASP license in the MENA region represents a significant milestone in HashKey’s market expansion strategy. As the UAE continues to establish itself as the premier hub for digital assets in the Middle East, HashKey Global MENA will cater to consumers and enterprises seeking trusted, compliant access to virtual asset services.”
Kunz added:
“While 1inch itself does not operate a regulated business in or out of the UAE today, we see strong potential in Dubai’s regulatory and innovation ecosystem. We also continue to evaluate the possibility of participating in a regulatory pilot with VARA in the near future. As 1inch develops decentralized finance infrastructure and tooling, having a technical base in a jurisdiction that is actively shaping regulatory frameworks allows us to stay aligned with emerging requirements.”
In recent years, Dubai and the UAE have hosted a growing roster of high-profile blockchain and crypto events, including Abu Dhabi Finance Week, Bitcoin MENA, and TOKEN2049, each drawing thousands of industry leaders, investors, and innovators from around the globe.
“Government entities are highly engaged with innovators, helping fast-track pilots and public-private partnerships. At the Dubai Blockchain Center, our mission is to educate, advise, and empower. We provide strategic advice to both public and private sector entities, organize technical and educational workshops, help interpret regulatory frameworks, and offer key introductions within the ecosystem.”
Siu recounted his typical experiences speaking with government officials in other jurisdictions, remarking:
“In this region, so many people within the royal circuit and the entire government circuits are already in crypto. They get it, they understand it, you don’t have to explain it to them, and it’s much easier to have a conversation around that versus other places where you still have to go through the ABCs.”
El-Baz added:
“The MENA region has a diverse profile in terms of retail demographics (local populations and expats) and institutional players (financial institutions, private companies, and family offices). The proactive approach taken by VARA, Dubai’s crypto regulator, has fostered a lively crypto ecosystem environment.”
