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Set Up a Cryptocurrency Business in Dubai

Set Up a Cryptocurrency Business in Dubai

The UAE started a while back to focus on the development of new technologies which have allowed it to shift its economy from the oil and gas industry. Research and development have been encouraged by the central authorities and now emirates like Dubai and Abu Dhabi have become smart cities that integrate a wide range of digital services which have eased the life of the population.

When it comes to Dubai, the local government encourages the development of SMEs operating in the innovation industry and at the beginning of the year, it has even started accepting the use of digital money as a payment method. Foreign investors who want to start SMEs in the innovation field can open cryptocurrency companies in Dubai.

The new law governing blockchain and cryptocurrency in Dubai

Banned until this year, the use of digital currencies was approved by the Dubai government at the beginning of the year when the new Regulatory Framework for Stored Values and Electronic Payment Systems was enabled. According to this law, companies are allowed to accept digital payments which opens the door to a new type of business venture: cryptocurrency companies.

Foreign investors who want to set up cryptocurrency companies in Dubai are encouraged by the UAE Central Bank and by the Dubai Supreme Legislation Committee which promotes the use of digital currency.

Our company incorporation agents in Dubai can offer more information on the legislation related to the use of cryptocurrency. You cal also talk to us about a crypto exchange license in Dubai.

How to start a cryptocurrency business in Dubai

There are no specific requirements related to the registration of a cryptocurrency company in Dubai, as investors must only register one of the types of companies available and apply for one of the business licenses under which it can operate. One of the best areas to set up a fintech company for the creation of cryptocurrency is the Dubai International Financial Centre Free Zone.

Those who want to open cryptocurrency businesses in Dubai should know that the Gulf Cooperation Council countries already have an Islamic digital currency, ArabCoin, which is used for trading gold all over the world.

How to obtain a crypto exchange license in Dubai

Obtaining a crypto exchange license in Dubai is not a complex process, but it does require attention to the formalities required by the authorities. Let’s review some of these:

  • The authorities make available to those interested a license form that must be completed with personal data and about the company.
  • Company documents registered in Dubai are required.
  • Valid passports of applicants are also required.
  • DMCC accepts the forms and documents mentioned above, to be verified.
  • One must pay a fee to obtain a crypto exchange license in Dubai.
  • In a few weeks, the applicant will receive the crypto exchange license in Dubai, if the documents are accepted.

These are just some of the goal-setting shareware that can be used for a cryptocurrency company in Dubai. You can find out all the details from our local agents in Dubai who have experience in this case.

Other compliance regulations – How to set up a cryptocurrency in Dubai

It is mandatory to obtain a crypto exchange license in Dubai in order to set up the desired company. You should also consider the money laundering legislation because the authorities can impose substantial penalties. Learn more about how to open a cryptocurrency company from our local agents.

Advantages of cryptocurrency companies in Dubai

This type of business is advantageous for both shareholders and those who choose cryptocurrency services. Here are some of the benefits:

  • The costs of a cryptocurrency company in Dubai are relatively low. Some transactions have no fees.
  • Virtual currency payment is protected thanks to well-developed blockchain technology.
  • Confidentiality is another important issue. Customers benefit from the protection of personal data from the beginning and are protected against possible financial fraud.
  • Those who want to set up a cryptocurrency company in Dubai can develop the activities relatively faster. This domain is quite appreciated worldwide, and Dubai makes no exception.

If you want to discuss more about how to open a cryptocurrency company in Dubai, we invite you to talk to our specialists. They can handle all the formalities involved.

Why invest in Dubai

Dubai is one of the top destinations on the list of foreign investors. Considered the “city of the future”, Dubai offers all the optimal business conditions, such as an experienced workforce, well-developed infrastructure, access to the most important financial markets in the world, and the possibility to develop business in dedicated environments, depending on activities.

The virtual currency market has gained increasing notoriety in the last decade and many are opening their businesses in this field. The benefits are many, both for those who work in this field, but also for those who use cryptocurrency. Here are some statistics about cryptocurrency worldwide:

  • Data for 2021 shows that there are over 300 million cryptocurrency users in the world.
  • There are already over 18,000 companies that accept payment in virtual currency.
  • 66% of the total market capitalization of cryptocurrencies between February 2021 and October 2021 was represented by Bitcoin.
  • In January 2021, the level of confidence in cryptocurrencies was 100%.
  • In 2020, more than 1 million transactions with Ethereum virtual currency were registered.
  • There are already over 12,000 virtual currencies in the world.

Those who want to set up a cryptocurrency company can contact our Dubai company formation consultants.