UAE Leads Crypto Adoption in the Middle East, 72% Invest in Bitcoin
UAE Leads Crypto Adoption in the Middle East, 72% Invest in Bitcoin
The United Arab Emirates (UAE) is spearheading crypto adoption in the Middle East. Crypto trading in the region has surged by 166%, with an average of 500,000 daily crypto traders in the area. Moreover, 72% of crypto users in the UAE invest in Bitcoin.
72% of UAE Crypto Users Invest in Bitcoin
According to a study report by the crypto exchange Bitget, centralized exchanges (CEX) have seen the largest influx of users involved in crypto trading in the Middle East region, with over 500,000 average daily active users in February 2024, compared to 300,000 in February 2023.
The UAE demonstrates the highest level of crypto adoption in this region. The approval of Bitcoin spot ETFs and the continuous rise in the total crypto market value are considered the main drivers for the increased interest from local users.
The UAE's leading position in the Middle East as a crypto hub is unsurprising, given that the country has the most crypto-friendly policies in the region. Meanwhile, most other countries are gradually enhancing their crypto regulations, shifting from total bans to more compliant approaches to channel new investments, projects, and users into their jurisdictions.
The UAE also shows the highest statistics in terms of interest in crypto. As much as 29% of surveyed crypto users in this study believe that crypto assets offer a more convenient way to store wealth. Most UAE crypto users use crypto as a means of crypto trading, while others use it for daily payments.
Users in the UAE also express the highest willingness to invest in Bitcoin, with BTC being referred to as "digital gold" by UAE users. As much as 72% of crypto users in the UAE invest in Bitcoin.
The report released by Bitget highlights in conclusion that the crypto adoption rate in the Middle East is expected to continue rising from 330,000 average daily active users in 2023 to around 700,000 by the end of 2024.
The main factors influencing this growth are favorable crypto regulations in Middle Eastern countries, as well as the overall investment attractiveness of crypto assets given the rising crypto market.
Conclusion
the United Arab Emirates (UAE) emerges as a trailblazer in driving crypto adoption across the Middle East region. With a remarkable surge of 166% in crypto trading and an impressive average of 500,000 daily crypto traders, the UAE stands at the forefront of the crypto revolution. Particularly noteworthy is the fact that 72% of crypto users in the UAE choose to invest in Bitcoin, reflecting a strong inclination towards the leading cryptocurrency.
The UAE's leading position can be attributed to its crypto-friendly policies, exemplified by the approval of Bitcoin spot ETFs and a conducive regulatory environment. As other countries in the region gradually refine their crypto regulations, the UAE's proactive stance positions it as a hub for crypto activities, attracting investments, projects, and users.
The high level of interest in crypto among UAE users, with 29% seeing crypto assets as a convenient wealth storage option, underscores the growing acceptance and utility of cryptocurrencies. While crypto trading remains a primary use case, the increasing adoption for daily payments signifies the expanding role of crypto in the UAE's financial landscape.
Bitcoin holds a special status among UAE investors, often referred to as "digital gold," further solidifying its appeal as a long-term investment asset. Looking ahead, the Bitget report anticipates a continued upward trajectory in crypto adoption, projecting an increase in average daily active users to around 700,000 by the end of 2024.
The driving forces behind this growth include favorable regulatory frameworks across Middle Eastern countries and the overall attractiveness of crypto assets amid a thriving crypto market. As the UAE leads the way, the broader Middle East region appears poised to embrace cryptocurrencies as integral components of its economic and financial ecosystems.
Read Too : Bitcoin Halving 2024 Shows Most Bullish Price Setup
*Disclaimer:
This content aims to enrich reader information. Always conduct independent research and use disposable income before investing. All buying, selling, and crypto asset investment activities are the reader's responsibility.
