Buy Crypto & Bitcoin in UAE
The UAE has its own rules and regulations for buying, selling, and trading Bitcoin and cryptocurrency. Here, we will walk you through the process of buying Bitcoin and crypto using the best crypto exchanges in the UAE.
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Best Crypto Exchanges in United Arab Emirates
Summary of Best Crypto Exchanges in UAE
Best Social Platform
Best Exchange in Middle East
Most Crypto Options
Buy Bitcoin in the UAE
Cryptocurrency has become a worldwide phenomenon in the last decade, and the United Arab Emirates is no exception. For example, as Asia Business Law Journal explains, in 2021, the UAE decided that half of the government transactions would be conducted via the blockchain.
For the general public in the UAE, a coin can be considered either a commodity or a security. The Financial Services Regulatory Authority (FSRA) decides a coin’s status on a case-by-case basis.
A coin considered a commodity is unregulated, while a coin considered a security is subject to regulations. The process for buying or owning crypto in the UAE is the same as buying bitcoin.
You need to use a crypto broker or a crypto exchange service. These services allow you to add the UAE currency and store crypto into an e-wallet. There are a few brokers to choose from, but two of the most popular in the UAE are Rain and BitOasis.
Once you sign up for a broker, you first add money to your account with your bank or credit card, then you can buy various cryptocurrencies.
Best Crypto Exchanges in the United Arab Emirates
United Arab Emirates has a booming crypto market facilitated by safe, legal exchanges.
eToro - Best Overall
eToro is a global investment platform that allows users to invest in Stock & ETFs, Cryptocurrencies, and C.F.D. Trading. Fees vary depending on if you're funding your account with fiat or cryptocurrencies.
Customers in the United States pay a spread of 0.75 percent to 5.0 percent on assets. Conversions from fiat to crypto will cost a 5% fee. There are zero fees charged on withdrawals, but the drawback is you have to withdraw at least $30.
eToro supports the trading of more than 40 crypto assets.
Rain - Best Exchange in the Middle East
Rain is a licensed cryptocurrency exchange that meets all Cryptocurrency Security Standard requirements. Rain operates throughout the middle east, including in the UAE.
Founded in 2016, Rain was licensed by the Central Bank of Bahrain in 2019. Rain currently offers 0% trading fees on crypto buys, sells, and swaps. The app offers trading of popular cryptocurrencies like Bitcoin, Ethereum, and Litecoin.
These currencies can be easily swapped with little to no fees. With a 3-hour verification setup, it is easy to quickly begin trading crypto in Rain. You can add funds with either a credit card or directly from your bank account.
They also provide 24/7 customer support, should you need any assistance. Buying and selling cryptocurrencies is easy in Rain. The app has clearly labeled buy and sell menus that show the current prices of top crypto coins.
You can even withdraw your funds immediately when you are ready to sell your crypto.
BitOasis - Most Crypto Options
BitOasis is a trusted crypto exchange and wallet service that operates throughout North Africa and the Middle East, including in the UAE. Founded in 2015, BitOasis is currently pursuing a regulatory license from the Dubai Virtual Assets Regulatory Authority.
Like Rain, BitOasis also offers 0% fees for buying, selling, and trading crypto. Their trading inventory includes 40 types of cryptocurrencies, including Bitcoin and Ethereum.
Additionally, with BitOasis, you can invest in NFTs, Metaverse tokens, and Altcoins. A straightforward verification process usually allows you to begin trading in 1 to 2 days.
Then, like Rain, you can deposit and withdraw funds to and from your wallet using either your bank account or a credit card. Customer service for rain is offered Sunday through Thursday from 9 AM to 5 PM.
To contact customer service, simply submit a support ticket with your email and why you need assistance. Buying, selling, or trading in BitOasis is straightforward.
The app shows the current prices of each coin available for trading. You can quickly buy and sell crypto using your designated payment method.
BitOasis relatively long history compared to other crypto exchanges makes them one of the most trusted options in the UAE.
Best Crypto Wallets in the UAE
Crypto wallets are like bank accounts, except they don't hold your currency. They store your private key, giving you access to the blockchain corresponding with the wallet.
Ledger Nano X
The Ledger Nano X is a multi-currency, Bluetooth-enabled hardware wallet that allows you to store Bitcoin securely, Ethereum, and many other supported coins. The device also supports Lightning Network payments for instant transactions between devices or friends without miner confirmation.
The Ledger Nano X costs $149 before tax, and you can buy it directly from the official website here. Supported Currencies: BTC, ETH, ETC, Dash DOGE, Zcash (ZEC), Ripple (XRP), and more.
Trezor Model T
The Trezor Wallet is a hardware cryptocurrency wallet designed to keep your currencies safe. The device also supports the technology of smart contracts, which allows you to create transactions on the Ethereum blockchain that are self-executing, self-enforcing, and impossible to rescind.
You can buy the Trezor Wallet for $215 directly from here. Supported Currencies: BTC, ETH, Litecoin (L.T.C.), E.T.C., B.C.H. (and all ERC20 tokens).
The Coinbase Wallet is a user-friendly online wallet that allows you to store over 4,000 assets. The app also provides access to Dapp's decentralized exchanges and offers the ability to create your token within seconds.
Coinbase has two versions of their wallet, one for mobile devices (Android & IOS) and one for computers (Browser Extension), which are all free. You can find the mobile wallet guide here and the browser extension guide here.
Supported Currencies: BTC, ETH, LTC, and all ERC20 tokens.
Crypto Laws & Rules in the United Arab Emirates
The United Arab Emirates has recently made cryptocurrency a mainstream part of its financial framework. In 2018, the UAE worked to make 50 percent of government financial transactions use crypto by 2021.
This was done with legislation known as the Emirates Blockchain Strategy 2021. In February of this year, Dubai established the Dubai Virtual Assets Regulatory Authority (“VARA”) to oversee and regulate crypto transactions in the UAE.
The Virtual Assets Regulatory Authority oversees cryptocurrency exchanges as well as NFTs. The organization works with federal agencies like the United Arab Emirates central bank to create and enforce rules regarding virtual currency.
The new legislation passed with the creation of VARA is known as Law No. (4) of 2022: Regulating Virtual Assets in the Emirate of Dubai. Overall, this legislation aims to define virtual currency and assets, develop protections for traders, and make the UAE appealing for crypto.
For the general public, cryptocurrency trading is allowed as long as the specific currency being traded is legally recognized by the UAE. Rain and BitOasis only include such cryptocurrencies.
The benefits of buying, selling, and trading crypto in the UAE include:
- Easy trading through crypto exchanges or brokers.
- Little to no fees on trades.
- Laws that incentivize crypto-based companies to operate and grow in the UAE
Easy Trading Through Crypto Exchanges or Brokers
For an individual, getting involved with crypto in the UAE is as easy as installing a crypto exchange app like Rain or BitOasis on your phone. Once verified with these apps, you can add money directly from your bank or credit card and begin trading.
Little to No Fees on Trades
In the UAE, buying, selling, and trading crypto on apps like Rain and BitOasis is generally free of fees. You can even compare different crypto exchange apps to see the best option to keep the most of your investments.
Laws That Incentivize Crypto-based Companies to Operate and Grow in the UAE
The Emirate of Dubai has passed significant legislation in recent years that incentivizes cryptocurrency trading. Additionally, because of the crypto-friendly legislation in the UAE, crypto companies like Ripple have begun moving there.
Crypto Tax Laws in the UAE
There is a zero percent personal income tax on cryptocurrency trades for individuals who reside in Dubai. So no matter how much you make from crypto, it will not be taxed if you reside in Dubai.
For individuals in other parts of the UAE, the localities generally have their own capital gains taxes on cryptocurrency. This tax rate may vary from place to place.
Trades outside of Dubai also generally require tracking and record keeping. For businesses in all of the UAE, all cryptocurrency transactions are tax-free.
Should You Invest in Bitcoin or Crypto in the United Arab Emirates?
So, should you invest in Bitcoin or Crypto in the United Arab Emirates? Absolutely. With user-friendly crypto exchanges like Rain and BitOasis becoming mainstream, it is easier than ever to buy, sell, and trade Bitcoin and crypto in the UAE.
Setting up an account is easy, and the apps make trading straightforward. This is especially true if you reside in Dubai specifically. The zero percent tax rate on cryptocurrency trades really cannot be beaten.
So, if you live in the UAE, see if Rain or BitOasis is right for you, and start buying, selling, and trading cryptocurrency!
UAE Crypto FAQ's
Yes, crypto exchange apps like Rain and BitOasis make buying UAE government-recognized crypto very easy.
Yes, both Rain and BitOasis support direct deposits and withdrawals with a debit or credit card.
No, UAE laws and crypto exchanges require a verification process to buy Bitcoin.
Yes, selling Bitcoin is easy with crypto exchange apps and can be sold whenever you want, 24/7.