The Dubai embrace of a sector has often encountered global regulatory skepticism is not accidental. It is rooted in the city’s push to diversify from oil and position itself as a center for emerging technology. The strategy is based on its main advantages: gradual regulations, government membership, talents, energy and infrastructure preparation and patient capital. Companies such as Ripple, Coinbase and Polygon are not only working in Dubai – they build innovative use cases for the world from here. Some examples include the digital identification system compatible with the ‘UAE Pass’ blockchain and the pilot of real estate tokénisation by Dubai Land Department.
From regulation to the adoption ecosystem
The Dubai blockchain ecosystem is built on a solid facilitation pyramid – regulation, infrastructure and adoption.
Ajeet Khurana, founder of Reflexical, underlines that, unlike many jurisdictions, Dubai has never reversed her liberal approach from blockchain and digital assets. Legal clarity is provided by the Securities and Commodities Authority (SCA) of the Water, while the Virtual Assets Regulatory Authority (VARA) – The first global regulator of digital assets – acts as a regulatory sandbox for real tests. Free areas such as DIFC (Dubai International Financial Center) and DMCC (Dubai Multi Commodities Center) add greater flexibility. For example, the DIFC digital asset law defines clear rules for the management and transfer of digital assets.
This regulatory clarity has stimulated the development of ecosystems. At the Apex is the Dubai Blockchain Center, which has the mandate to educate government organizations, regulators and businesses, making blockchain accessible and allowing real applications. The 2071 zone is an innovation hotspot, a co-creation space where innovators, creators and entrepreneurs use laboratories, incubators and networks to solve concrete problems established by the Centennial Vision 2071 in Dubai. It is part of a DMCC accelerator program which provides for a cost to mentoring, credits from large technological companies and pilot projects led by the government. The DIFC Innovation HUB has recently associated with Ripple to create a platform connecting technology companies, regulators, VCs and educational entities. Like Khurana, Dubai thrives on his micro-community. Events, including Token2049, the future blockchain summit and various hackathons, create coherent commitment and learning environments all year round.
Adoption: where Dubai finds his blockchain rhythm
According to Khurana, the blockchain has experienced many use cases – tokens or NFTS Métaverse in non -bubble – but found firm land in three areas in Dubai:
- Digital assets as payments
- Decentralized finance (DEFI)
- Smart contracts
Dubey stresses that digital assets / cryptographic payments are now common in Dubai. Residents can use crypto to pay taxes, buy goods, buy luxury items, pay credit card invoices or even pay wages. The DIFC now supports tokens such as the USDC and the EURC. Ripple has also recently become the first company authorized by the DFSA to explore token payments. The future launch of Digital Dirham will further strengthen this momentum.
According to Dr. Al Zarouni, smart contracts based on blockchain, especially when combined with artificial intelligence (AI), emerge as a major adoption area. The real estate tokenization pilot of the Dubai land department allows a fractional property – a market estimated at $ 16 billion by 2033. Developers such as Damac now accept cryptographic payments using intelligent contracts, rationalizing purchases of properties.
Health care is another promising border. Dr. Marwan mentions the circular protocol, a decentralized science startup (DESCI) working on the automation of clinical trials and ensuring transparent verification of the time test. Intelligent contracts are also used for automatic processing insurance complaints. As he says, “the cases of use of the blockchain are under construction in Dubai to be exported to the world”.
And spotlightIndia-Dubai collaboration: a double-sensitive street
According to Sumanta Roy, head of Tata Consultancy Services, Middle East and Africa, “there is an increasing synergy between the talent of the blockchain of India and the empowering environment of Dubai”. In 2024, Dubai Internet City joined the National Association of Software and Service Companies (NASSCOM) to support Indian entrepreneurs. DIFC also signed a memorandum of understanding with Nasscom to strengthen Fintech collaboration. T-Hub has teamed up with Dubai Commercity to provide Indian startups with regulatory support, infrastructure and market access.
For Dr. Marwan, a key collaboration area is the digital identification platform fueled by the blockchain of the United Arab Emirates, Pass Water and the Aadhaar frame of India. Dubai can offer Indian companies a good opportunity to build a blockchain payment inspired by the unified interface (UPI) – this could particularly benefit Dubai sectors and small and medium -sized enterprises (SMEs), because most UPI transactions are on a small scale (less than 500 ₹).
In short, several opportunities exist for blockchain startups in the government ecosystem of Dubai, real estate, deffi, Desci, in the creation of new solutions in a “sand environment” and India-Dubai technological collaboration. Our interviewed people underlined some practical advice to build and grow in Dubai –
a) Selection of free zones depending on the activity and the installations offered. For example, the DMCC hosts more than 500 Crypto / Web3 companies (50 of which are Indian). It provides flexible licenses to trading, exploitation and Crypto DEFI services with a 0% corporate tax in free areas.
b) Adapt to the evolutionary regulations of the central bank, Vara and free areas. In February 2025, Vara strengthened her surveillance of license without license, calling for compulsory third -party audits for intelligent contracts in DEFI.
c) Incorporate in micro-community and various incubator, accelerator and mentorship programs.
The Dubai blockchain’s journey regularly goes from potential to another. Supported by government support and a growing ecosystem, the city laid the basics of practical applications. For companies exploring use cases in financial, real estate or digital assets, Dubai offers a test bench where ideas can be built, set up and brought to the world market. Dubai is the only place where your owner, your lawyer and your latte could all be on the blockchain.
This article is written by Shraddha Bhandari.
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WARNING – This article is part of a series of features on the business in Dubai.
