UAE Set to Make Crypto Its Second-Biggest Industry Within 5 Years
The United Arab Emirates (UAE) is on track to make crypto its second-largest economic sector within five years, according to Chase Ergen, board member of DeFi Technologies.
“They sell oil, that’s their main business. I think their second-biggest business is going to be the blockchain industry in the next five years,” Ergen told Cointelegraph, highlighting the nation’s pro-crypto legislation, tax benefits, low crime, debt-free economy, and strong leadership.
The UAE has already established itself as the regional hub for crypto and tech, creating a moat in the Middle East and Africa (MENA) amid the global race for digital finance dominance.
Nation-State Adoption Accelerates in 2025
Crypto adoption has surged worldwide in 2025. The Trump administration released its long-awaited crypto plan in July, aiming to position the U.S. as a global leader. Similarly, Pakistan reversed its ban in November 2024, launching a national Bitcoin reserve and crypto council to build a regulatory framework.
Sovereign wealth funds are also increasing exposure:
UAE’s Mubadala and Norway’s sovereign fund now hold Bitcoin through ETFs.
Norway’s fund, the largest globally, boosted its BTC exposure by 192% in the past year (K33 Research).
With institutional inflows and supportive regulation, the UAE is positioning itself to become a global powerhouse in blockchain and digital finance, second only to oil in its economy.
