Dubai is set to become one of the first governments globally to fully support cryptocurrency payments for public services, as confirmed by a landmark agreement that was signed between Crypto.com and the Dubai Department of Finance.
Revealed during the Dubai FinTech Summit on May 12, the memorandum of understanding detailed plans for the development of a secure digital payment platform through which government fees can be paid by individuals and businesses using cryptocurrency wallets.
According to Crypto.com, these payments will be transformed into Emirati dirhams and deposited into the accounts of the Department of Finance, representing a significant advancement in the execution of the Dubai Cashless Strategy.
Dubai Emerges as a Global Crypto Hub
As part of a wider effort to establish Dubai as a global center for financial innovation, the initiative has been introduced. Under the city’s Cashless Strategy, a goal has been set to transition over 90% of financial transactions across public and private sectors to digital formats by 2026.
The adoption of blockchain-powered payments is projected by the Department of Finance to add no less than AED 8 billion each year to the local economy, as fintech development is encouraged and financial services are made more efficient.
The agreement has been described by officials as the first of its kind at a government-wide scale, surpassing pilot initiatives in other regions by embedding cryptocurrency payments directly into Dubai’s digital framework.
Once the technical integration has been finalized, the service will be made accessible through Crypto.com’s wallet, allowing secure and smooth cryptocurrency transactions to be conducted across all involved government departments.
