Rise of Crypto Exchanges in UAE

Rise of Crypto Exchanges in UAE

Crypto exchanges in the UAE are becoming increasingly popular. Consequently, the UAE may well emerge as the top destination for the best crypto exchange. Among the numerous crypto platforms, YaCrypto stands out for facilitating smart and secure trading. It has been recognized as one of the top crypto exchanges in the UAE by a tech research firm. Most crypto exchange platforms have a user-friendly interface and support Bitcoins, Ethereum, and many other altcoins. Hence, in this article, we will explain the reasons why cryptocurrencies are becoming popular in the UAE.

Favorable Factors Supporting Cryptocurrency in UAE

Crypto exchanges in the UAE are becoming popular because of many favorable economic factors. The revenue of the cryptocurrency market is booming and is projected to reach approximately US $239.90 million. The percentage of users in the UAE is now 23.2 and this is expected to reach almost 29 percent by 2027. The UAE crypto market is also booming and the number of users will increase by 3.11 million in 2027. The other favorable factor is that the revenue is expected to increase by 11.59%. The average revenue per user is also going to be positive as it will amount to US $101.80 in 2023. 

Besides these figures, there are factors such as increasing acceptance of cryptocurrencies, and growing interest in decentralized forms of financing. Furthermore, cryptocurrencies in the UAE may serve as a good hedge against both political instability and inflation. The cryptocurrency market in UAE may significantly gain because of cross-border transactions. Similarly, there are high chances of volatility in the market. However, many experts believe that this is a normal phenomenon for rapidly evolving markets. 

UAE government support for cryptocurrency

Crypto exchange in the UAE will continue to grow because of government initiatives. The two largest cities of the country, Dubai and Abu Dhabi have devised regulatory frameworks to regulate digital assets. This will help many cryptocurrency companies and crypto platforms to have better legal protection in the country. For example, the Abu Dhabi Global Market (ADGM) is going to offer good guidance for the proper treatment and classification of digital assets. There is another government institute called Virtual Assets Regulatory Authority (VARA) in UAE. The government has authorized the institute to streamline regulatory application and operating licensing approvals for Virtual Assets. It will work closely with DWTC to create a new zone for regulated Virtual Assets businesses in the near future. In March 2022, Sheikh Mohammad bin Rashid Al Maktoum, the ruler of Dubai Emirate made his intentions clear. He wants the UAE and its city Dubai to become major players in designing the future of virtual assets internationally. 

Public support for crypto exchanges

Crypto exchanges in the UAE enjoy mass support. According to Henley and Partner’s Crypto Wealth Report, the UAE scored 7.1 out of 10 in the Crypto Adoption Index. This can only be possible because the masses in the UAE support crypto exchanges. The six parameters such as regulatory environment, economic factors, tax rebates, infrastructure adoption, and public adoption. The country is exceptionally good for the crypto market because public adoption of currencies has been faster. Nearly 2/3rd of UAE residents have shown interest in investing in cryptocurrencies in the next five years. The trust levels among the public regarding cryptocurrencies are also high. Around 40 percent support the adoption of cryptocurrency. These figures are substantially higher than those in Western countries like France, UK and Italy. 

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In Conclusion

Crypto exchanges in the UAE are expected to have a bright future as far as the latest trends are concerned. YaCrypto has the tremendous potential to act as a major crypto exchange by providing a safe and secure platform for traders. The governmental support for crypto exchanges is going to be very helpful for the masses to use cryptocurrencies daily without much legal hassles. If these positive developments continue, then Dubai may well become the world’s most attractive destination for crypto exchanges. 

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