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The Coin Rise 2025-05-13 08:21:47

Dubai Partners with Crypto.com to Enable Crypto Payments for Government Services

Dubai Partners with Crypto.com to Enable Crypto Payments for Government Services

Dubai has taken another major step toward its goal of becoming a global leader in digital finance. On May 12, the city’s Department of Finance (DOF) signed a groundbreaking agreement with Crypto.com to allow residents and businesses to pay for government services using cryptocurrencies. The initiative is part of Dubai’s broader cashless strategy, which aims to transform the emirate into a fully digital society by 2026. Once launched, the new payment service will enable users to pay fees for various government services through Crypto.com’s digital wallets. These payments will then be instantly converted into United Arab Emirates dirhams and transferred into the DOF’s accounts. While the DOF has not specified which cryptocurrencies will be accepted, it noted that only “stable cryptocurrencies” will be permitted—suggesting stablecoins like USDC or a newly announced dirham-pegged stablecoin could be in focus. Cashless and Digitally Inclusive Economy The partnership supports Dubai’s ambition to power 90% of all public and private sector transactions through cashless methods by 2026. Amna Mohammed Lootah, director of digital payment systems regulation, expressed confidence that the initiative will significantly advance the city’s cashless strategy and serve as a model for smart digital governance. The strategy, originally unveiled in October 2024 in Dubai, already shows strong adoption metrics—97% of government payments were digital in 2023. The DOF expects the shift to a fully digital financial infrastructure to contribute at least 8 billion dirhams (around $2.1 billion) to the economy by promoting fintech innovation and adoption. According to Ahmad Ali Meftah, executive director of the central accounts sector, the city is actively developing a regulatory framework to support this digital transformation while maintaining high standards of efficiency and security. Dubai: A Growing Crypto Hub Dubai continues to cement its reputation as a crypto-friendly jurisdiction. In addition to the recent Token2049 conference hosted in the city, the Dubai government launched a pilot project in March to tokenize real estate assets on the blockchain. With this latest move, Dubai becomes one of the first governments in the region to integrate stablecoin-based crypto payments into public service delivery. Globally, other governments are also exploring similar routes. In the U.S., a New York lawmaker recently proposed legislation to allow state agencies to accept crypto for payments—further signaling a broader shift in how digital assets are viewed in official transactions. The post Dubai Partners with Crypto.com to Enable Crypto Payments for Government Services appeared first on TheCoinrise.com .

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