Bitpanda MENA Observes Significant Uptick in UAE’s Crypto Adoption 

Overseeing the company’s operations in the UAE and the wider region is Walid BenOthman, Managing Director of Bitpanda MENA; he sheds light on the factors contributing to the country’s surge in cryptocurrency adoption, citing the nation’s forward-thinking agenda as a key catalyst.

Despite the global market’s fluctuating nature, revenue in the UAE’s crypto sector is expected to grow by 7.89% annually to reach $395.8 million by 2028, up from $292.1 million this year. With a 10% rate in the Middle East, crypto adoption is low, however, recent data indicates this trend won’t persist. According to Bitget Research, the average daily number of crypto traders in the region exceeded 500,000 in February 2024, reflecting a 51% YoY (Year-over-Year) growth from the same month in 2023. During this period, the UAE has elevated regional growth by leading crypto adoption per capita with a 68% YoY rise in daily traders.

Walid explained: “Since its inception over 50 years ago, the UAE’s aim to diversify away from oil has been clearly outlined - and for decades, this governmental-led effort has been reinforced by various mandates, across several industries, to foster a future-proof nation. Crypto has increasingly become a part of this journey, with the UAE recognizing the enormous potential that it holds not only regionally but also globally. By initiating strategies to integrate crypto as a mainstay within its borders, the country is ushering in a new era to become a leading crypto hub worldwide.”

The new era which Walid mentions has long been in the works with initiatives like the Dubai Blockchain Strategy, the Emirates Blockchain Strategy, and more recently the launch of the DMCC Crypto Centre reinforcing this notion. These efforts showcase the nation’s pioneering efforts to embrace cryptocurrency in an increasingly digital world. According to Bitpanda, this is directly correlated to rising institutional adoption, as banks and financial services are actively pursuing ways to provide virtual asset services to their clients while also aligning with the key priorities of the UAE.

After achieving a record-setting revenue of AED 400 million in Q1 of 2024, Bitpanda has since reached a new milestone of 5,000,000 total users as of Q2 while also securing DMCC licensing of its own. With Bitpanda MENA, the company is now set to aid the UAE’s diversification efforts; nurturing its digitization efforts by unlocking digital assets for millions of investors.