UAE tightens grip on regulated crypto economy with Crypto.com deal / Image: file
The UAE has taken another major step toward becoming a global digital finance hub after Crypto.com became the first cryptocurrency platform to receive a Stored Value Facilities (SVF) licence from the Central Bank of the UAE.The licence was granted to the company’s regional entity, Foris DAX Middle East FZE, allowing the platform to offer regulated digital asset payment services across the Emirates. The approval is a landmark moment for the country’s crypto industry because it places virtual asset payments directly within the UAE’s regulated financial system.Under the new framework, UAE residents will soon be able to pay government service fees using cryptocurrencies through Crypto.com’s platform. The payments will be processed through a regulated system tied to Dubai’s broader cashless economy strategy.Officials said all settlements will ultimately be converted into UAE dirhams or Central Bank-approved dirham-backed stablecoins, ensuring the government does not directly handle volatile cryptocurrencies.
Crypto goes mainstream in the UAE
The approval activates Crypto.com’s partnership with Dubai Finance, previously announced during the Dubai FinTech Summit. The partnership is expected to support Dubai’s ambitious goal of making 90 percent of all transactions cashless by 2026.Once the technical rollout is completed, individuals and businesses will be able to use digital wallets linked to Crypto.com to pay for government-related services. The company’s platform will instantly convert crypto payments into dirhams before transferring the funds to government accounts.Dubai authorities estimate the broader cashless transformation could add nearly AED8 billion annually to the economy by boosting financial technology innovation and digital commerce.The licence also gives Crypto.com a unique market position in the UAE. As the only virtual asset service provider currently holding this specific SVF approval, users seeking to use government crypto payment services will need to onboard through Crypto.com’s VARA-licensed platform.
Emirates airline, Dubai duty free soon accept Crypto
The Central Bank approval could also pave the way for crypto-powered payment systems beyond government services.Crypto.com said the licence may eventually support digital asset payment integrations with Emirates Airline and Dubai Duty Free, both online and in physical locations, once additional regulatory approvals are completed.If implemented, travelers may be able to pay for airline bookings, shopping and travel-related services using digital assets while merchants continue receiving payments in dirhams. Analysts say this model helps reduce volatility concerns while still expanding real-world crypto usage.The development comes as the UAE rapidly expands its virtual asset regulatory framework. In recent years, Dubai established the Virtual Assets Regulatory Authority (VARA), while federal authorities also broadened Central Bank oversight of crypto-related payment services under updated financial legislation.
Crypto.com expands UAE presence
Crypto.com executives described the licence as a defining milestone for both the company and the UAE’s digital economy ambitions.Eric Anziani, President and COO of Crypto.com, said the approval reflected the company’s focus on compliance, security and regulated financial innovation. He described the UAE as one of the world’s most advanced markets in digital economy legislation and crypto regulation.Mohammed Al Hakim, President and General Manager for UAE and Bahrain at Crypto.com, said the company can now provide services “no other digital asset platform can offer” by enabling regulated crypto payments for Dubai government fees.Founded in 2016, Crypto.com has aggressively expanded across regulated markets worldwide and now serves millions of users globally. The company already holds a VARA licence in Dubai and has been strengthening partnerships across the UAE’s fintech and blockchain ecosystem.Industry experts say the latest approval further strengthens the UAE’s reputation as one of the most crypto-friendly and regulation-focused markets globally, especially at a time when many countries are still debating how to integrate digital assets into mainstream financial systems. Go to Source
