UAE named among a top 5 global crypto hub for investors

The UAE has emerged as one of the world’s most attractive destinations for crypto investors, securing a spot among the top five global crypto-friendly jurisdictions in the 2025 Crypto Wealth Report by Henley & Partners. With a perfect tax score, robust government support, and an expanding blockchain ecosystem, the Emirates is drawing in a fast-growing population of digital millionaires in search of financial freedom and regulatory clarity.

UAE's zero tax advantage and leading crypto adoption

The UAE received a perfect score of 10 for tax-friendliness in the Henley Crypto Adoption Index, thanks to its zero tax policy on cryptocurrency trading , staking, mining, and selling across all seven emirates. This makes the UAE the world’s most tax-friendly country for cryptocurrencies, tied only with Monaco in this metric.

This tax structure is particularly attractive to high-net-worth individuals (HNWIs) and crypto entrepreneurs looking to maximise capital gains without regulatory overhead. As a result, the UAE now ranks among the top five crypto destinations globally, alongside Singapore, Hong Kong, the USA, and Switzerland.

The UAE also ranked:

• Second globally for crypto adoption, behind only the US
• Fourth in innovation and technology, highlighting its digital readiness

The Henley Crypto Adoption Index evaluated 29 investment migration programs across six parameters:

• Public adoption
• Infrastructure adoption
• Innovation and technology
• Regulatory environment
• Economic factors
• Tax-friendliness

The report recognised the UAE as a leading example of a government actively enabling crypto ecosystems to flourish.

“The UAE combines one of the most crypto-friendly tax environments with high levels of digital adoption, attracting both retail users and businesses,” the report stated.


Strategic government support: VARA, digital Dirham , and golden visa programs

The UAE’s crypto ascent is not based on tax policy alone. It is underpinned by intentional, long-term regulatory frameworks and national programs aimed at supporting blockchain growth.

Key Initiatives:

• Dubai Virtual Assets Regulatory Authority (VARA): Established in 2022, this was the world’s first regulator exclusively for virtual assets, offering a dedicated framework for digital asset governance.
• DMCC Crypto Centre: Located in Dubai Multi Commodities Centre, it houses over 650 blockchain companies, making it a key innovation cluster.
• Central Bank’s Digital Dirham Program: Supports the adoption of central bank digital currencies (CBDCs) and broader digital finance integration.
  

Residence incentives:

• UAE Golden Visa : Offers 10-year renewable residence permits for investors, including those committing at least Dh2 million in real estate investment.
• Dedicated visa tracks for tech entrepreneurs enhance the UAE’s appeal to long-term crypto builders and blockchain-focused businesses.

“Dubai is a desert oasis for digital assets,” said Basil Mohr-Elzeki of Henley & Partners. “The UAE has perhaps the most comprehensive strategy for attracting crypto wealth.”


Global surge in crypto wealth and UAE’s investor influx

The 2025 Crypto Wealth Report outlines a dramatic surge in global crypto wealth, with the number of crypto millionaires climbing to 241,700 individuals, marking a 40% increase in just 12 months.

Breakdown of Key Figures:

• Bitcoin millionaires rose by 70% YoY, now totaling 145,100 individuals
• Crypto centi-millionaires (portfolios of $100M+) grew by 38%, now numbering 450
• Crypto billionaires increased to 36 individuals, up 29% from last year
• Global crypto market valuation hit $3.3 trillion as of June 2025, a 45% jump year-on-year
  

The UAE benefits directly from this new wealth class. As explained by Dominic Volek, Group Head of Private Clients at Henley & Partners:

“Cryptocurrency has made geography optional — with nothing more than 12 memorised words, an individual can secure a billion dollars in Bitcoin, instantly accessible from Zurich or Zhengzhou alike.”

This mobility has created a wave of crypto investors seeking jurisdictions that combine favourable tax environments, regulatory clarity, and geographic flexibility — making the UAE an ideal destination.

Frederik Bussler, founder of Bussler & Co., noted that nearly 30% of UAE residents now own cryptocurrencies, the highest rate globally.


UAE among global leaders in crypto migration and digital economy

The growing link between digital wealth and citizenship/residence by investment (CBI/RBI) has placed the UAE in a strong competitive position.

“This mobility-driven class of investors is increasingly turning to citizenship by investment programs as a strategic route to geographic and financial flexibility,” said Catherine Chen, Head of VIP & Institutional at Binance.

The UAE’s CBI-friendly programs, combined with a world-class digital infrastructure, make it a strategic destination for this evolving class of investor.

Comparative Regional Trends:

• Singapore: Leads the global index due to exceptional infrastructure and regulatory scores
• Thailand: Introduced a five-year capital gains tax exemption for crypto trading
• Malaysia: Advancing fintech through Digital Free Trade Zone initiatives

These developments underline a growing international trend: governments are adapting their financial and regulatory systems to attract digital wealth. Yet the UAE stands out for its early, structured, and comprehensive adoption of crypto-enabling policies.