UAE's crypto transaction volumes jumped in 2024, with small retail activities rising over 75% year-over-year, per Chainalysis data. RAK Properties now allows international buyers to use bitcoin, Ether, and USDT for property purchases. This step fuses CeFi with traditional markets under strict .
The RAK Properties and Hubpay Partnership
RAK Properties teamed up with ADGM-regulated Hubpay to handle crypto payments. Hubpay converts digital assets to UAE dirhams instantly for seamless settlements.
This setup ensures RAK Properties avoids direct crypto handling. All transactions comply with VARA licensing for security.
Cryptocurrencies in Play
Buyers can pay with major tokens like , ethereum, and Tether's USDT. More options may follow based on demand.
These choices cater to diverse investor preferences in the crypto space. They align with market trends favoring stablecoins for large deals.
Impact on UAE Real Estate market
RAK's Mina Al Arab project kicks off this initiative, with 800 units due by year-end. Revenue hit 775 million dirhams in H1 2025, up sharply.
Net profits soared 80% to 161 million dirhams. This crypto option targets tech-oriented global buyers expanding market reach.
Regulatory Framework Boosting Adoption
UAE's progressive rules, including no crypto profit taxes, fuel this growth. ADGM and VARA oversight provides a safe environment for CeFi integrations.
By 2025, tokenized assets like real estate gain traction under new draft laws. This positions UAE as a hub for blockchain in property sectors.
Expert Views and market Insights
RAK Properties' CFO noted that embracing digital assets draws in savvy investors and bolsters the brand's innovative edge. He emphasized easier access for international clients in Ras Al Khaimah.
Hubpay's CEO highlighted how their platform supports secure, high-value trades. This aids developers in tapping new buyer segments globally.
UAE crypto market eyes $234 billion by 2033, growing at 8.74% annually. Real estate inquiries via crypto rose 50% in Dubai by mid-2025.
Such trends signal broader acceptance, blending with market innovation. PropTech firms tripled to 189, drawing investments.
Broader Implications for Investors
This move opens doors for crypto holders to diversify into stable assets like UAE property. It reduces barriers in cross-border deals amid rising adoption.
Investors gain from a -free setup, enhancing returns in a regulated space. market analysts predict more firms will follow suit.
Challenges and Considerations
Volatility in crypto values poses risks, but instant conversions mitigate this. compliance remains key to avoid regulatory pitfalls.
Educating buyers on processes ensures smooth transactions. Overall, benefits outweigh hurdles in this evolving landscape.
This initiative reflects UAE's push toward economic diversification via Vision 2030. It merges CeFi, , and market dynamics for sustained growth.
