Dubai Crowned World’s Largest Licensed Virtual Asset Market as Sheikh Mohammed bin Rashid Honours Sheikh Maktoum’s Leadership

Dubai Crowned World’s Largest Licensed Virtual Asset Market as Sheikh Mohammed bin Rashid Honours Sheikh Maktoum’s Leadership

Dubai, UAE — October 2025 | Source: Khaleej Times, Gulf News, The National, WAM

On the third anniversary of the Dubai Virtual Assets Regulatory Authority (VARA), His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, announced that Dubai is now the world’s largest licensed virtual assets market, recording over AED 2.5 trillion (USD 681 billion) in transactions since the beginning of 2025.

This milestone reflects the emirate’s evolution from early crypto experimentation to full regulatory leadership, setting a global precedent for compliance-driven innovation across Web3, DeFi, and digital finance.

⚙️ Vision Backed by Regulation

Established under the supervision of His Highness Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Prime Minister, Minister of Finance, and First Deputy Ruler of Dubai, VARA now regulates more than 40 licensed virtual asset service providers (VASPs) — spanning trading platforms, custodians, brokers, and tokenization frameworks.

The Dubai Virtual Assets Law, enacted in March 2022, created a clear and transparent framework that’s become the blueprint for next-generation financial regulation. The city’s approach prioritizes investor protection while still giving founders, institutions, and developers the freedom to innovate.

“Our vision has always been to build an economy ready for the future—an ecosystem where innovation is trusted and regulation empowers rather than restricts,” said Sheikh Mohammed bin Rashid Al Maktoum in his announcement.

(Source: Khaleej Times, Gulf News, WAM)

💼 Financial Sector Strategy 2030

During a meeting of the Higher Committee for the Development of the Economic and Financial Sector in Dubai, chaired by Sheikh Maktoum bin Mohammed, the Dubai Financial Sector Strategy (DFSS) was formally approved.

The initiative aligns with the UAE’s broader Economic Vision 2030, aiming to:

• Boost the financial sector’s contribution to Dubai’s GDP to 18–20%.

• Grow the virtual asset economy from 0.5% to 3% of GDP (~AED 13 billion).

• Integrate AI, blockchain, and tokenized RWA systems into regulated market operations.

• (Source: The National News, WAM)

🌐 Global Impact

With its clarity around compliance and licensing, Dubai is now home to an expanding network of approved platforms — from Bybit, OKX, and Binance ME, to BitOasis and Crypto.com — all operating under VARA’s supervision.

The city’s dual focus on governance and growth has turned it into the world’s most active regulated crypto hub, bridging traditional capital markets with decentralized ecosystems.

“Dubai isn’t just innovating; it’s institutionalizing the new economy,” noted a Block Tides analyst.

⚡ Block Tides Insight

Dubai’s virtual-asset trajectory shows what happens when vision meets regulation — proof that real decentralization thrives under clear law, not chaos.

As VARA enters its next phase, the UAE cements itself as the global capital for trust-based digital finance, attracting capital, builders, and sovereign funds aligned with a Web3-ready future.

Written by Block Tides Editorial Team

For publication on: chainconnect.blocktides.com