Dubai: The United Arab Emirates has been named the 5th most crypto-friendly country in the world, according to the Crypto Wealth Report 2025 by Henley & Partners and New World Wealth. The recognition highlights the nation’s unique combination of zero income tax, high digital adoption, and strong government backing for blockchain innovation.
Leading in Tax and Adoption
The report ranked the UAE as the world’s most tax-friendly jurisdiction for cryptocurrencies, alongside Monaco, due to its zero tax policy on digital assets. The Emirates also secured the second spot globally for crypto adoption, trailing only the United States.
In addition, the UAE ranked fourth in innovation and technology, reflecting the country’s rapid embrace of blockchain infrastructure, digital finance, and Web3 applications.
“The UAE combines one of the most crypto-friendly tax environments with high levels of digital adoption, attracting both retail users and businesses. Strong government backing, including Dubai’s Virtual Assets Regulatory Authority and the Central Bank’s Digital Dirham programme, underpins a thriving ecosystem for blockchain innovation and financial services,” the report noted.
A Comprehensive Strategy
According to Basil Mohr-Elzeki, Managing Partner at Henley & Partners, North America, the UAE has crafted one of the most comprehensive approaches for attracting crypto wealth.
“Perhaps the most comprehensive strategy for attracting crypto wealth is seen in the UAE, a crypto entrepreneur’s dream, with zero taxes on crypto trading, staking, mining, or selling across all seven emirates. But the appeal transcends mere tax optimization,” Mohr-Elzeki said.
He highlighted the creation of Dubai’s Virtual Assets Regulatory Authority (VARA) in 2022 as a pioneering step, marking the world’s first dedicated regulator for virtual assets. The DMCC Crypto Centre, now home to more than 650 blockchain companies, and visa tracks tailored for tech entrepreneurs further demonstrate the UAE’s methodical approach.
Golden Visa Advantage
Another cornerstone of the UAE’s strategy is its Residence by Investment initiative, widely known as the Golden Visa. Available through several categories, including property investment of AED 2 million, the programme offers a 10-year renewable residence permit.
Mohr-Elzeki explained that this long-term residency option aligns perfectly with the outlook of blockchain founders and investors who seek stability and continuity in their operations.
Global Investors Take Notice
Industry voices echoed the report’s findings. Frederik Bussler, owner of New York marketing firm Bussler & Co, described Dubai as a prime destination for high-net-worth digital asset investors.
“Dubai attracts high-net-worth digital asset investors with its world-class infrastructure and a regulatory environment that explicitly courts crypto entrepreneurs through the Golden Visa programme,” he said.
Bussler also pointed to the UAE’s exceptionally high rate of crypto ownership. With nearly 30 per cent of residents owning cryptocurrency, the country leads globally in adoption per capita, underscoring both public enthusiasm and the government’s supportive stance.
Global Rankings
While the UAE secured 5th place overall, the top spot in the Crypto Wealth Report 2025 went to Singapore, followed by Hong Kong, the United States, and Switzerland. The UAE’s position above other global financial centers underscore its rapid progress in establishing itself as a hub for blockchain and digital assets.
The index assessed 29 investment migration programmes worldwide based on six parameters: public adoption, infrastructure adoption, innovation and technology, regulatory environment, economic factors, and tax-friendliness.
Surge in Crypto Wealth
The report also noted that the global population of crypto millionaires has surged to 241,700 individuals, marking a 40 per cent increase in just one year. Much of this growth has been driven by a dramatic rise in Bitcoin millionaires, which jumped 70 per cent year-on-year to 145,100 holders.
This surge highlights the increasing role of digital assets in global wealth creation and the importance of regulatory environments that support investor confidence.
UAE’s Vision for the Future
The UAE’s crypto-friendly policies form part of its broader ambition to diversify its economy and position itself as a global hub for finance, innovation, and technology.
By combining zero tax, regulatory clarity, high adoption rates, and world-class infrastructure, the Emirates is emerging as both a safe haven and a launchpad for blockchain entrepreneurs, institutional investors, and high-net-worth individuals.
As the industry matures, experts suggest that the UAE’s balanced approach — encouraging innovation while providing regulatory safeguards — may serve as a model for other jurisdictions seeking to attract crypto wealth.
