Recently, I have been visiting the Gulf region intensively, from Dubai to Abu Dhabi. A series of industry exchanges have given me new insights into the local crypto ecosystem.

To be honest, the pace of urban development here is truly astonishing. The highway between the two cities remains busy with traffic even at 2 a.m., and everywhere you see construction sites and cranes, reminiscent of the rapid changes in Shenzhen over a decade ago. The underlying logic is quite clear—UAE is accelerating its transition from an oil-based economy to a financial technology hub, and the crypto industry is the most critical "overtaking" sector in this transformation.

The current situation is very favorable for the UAE. A leading exchange has obtained the world's first comprehensive license from Abu Dhabi Global Market (ADGM)—covering trading, clearing, brokerage, and other full business segments—and has moved its headquarters to Abu Dhabi. This move has directly elevated the UAE's position as a global crypto center to a new level. In terms of asset scale, the total crypto assets under Abu Dhabi's regulation already far surpass the size of the US SEC.

Policy implementation is accelerating, with local regulators emphasizing three main directions: compliance development, institutional-grade infrastructure, and stablecoin integration.

Dubai is moving the fastest. The government financial department has signed a memorandum with a compliant platform, allowing residents to pay platform fees with cryptocurrencies, and stablecoins are automatically exchanged into Dirhams. Additionally, XRP has become Dubai’s first regulated digital asset, which is an important signal for advancing a "cashless society." The regulatory framework for stablecoins is also being further refined.

Overall, the policymakers in the UAE have a clear approach—they want to promote rapid development while maintaining compliance. The crypto industry here is not being suppressed but is being supported as a strategic industry.