The United Arab Emirates has climbed three places to secure second position in the Henley Crypto Adoption Index for 2026, a report by Henley & Partners published this week showed. The country achieved an overall score of 46.4 out of 60, trailing only Singapore’s 47.1 while surpassing Hong Kong’s 46.2 as well as the United States and Switzerland. Henley & Partners evaluated more than 900 data points across 36 jurisdictions that provide residence and citizenship options to assess their crypto and blockchain environments.
Six distinct areas each scored out of 10 contribute to the total in the Henley & Partners methodology. The UAE received a perfect 10 for tax friendliness, 8.9 for innovation and technology, 8.0 for economic factors, 7.6 for public adoption, 7.3 for its regulatory environment and 4.6 for infrastructure adoption, the report detailed. This balanced performance across categories propelled the UAE ahead of several traditional financial centers in the global ranking.
Henley & Partners attributed the maximum tax score to the UAE’s policy of imposing no taxes on cryptocurrency trading, staking or mining activities. The assessment found this tax regime forms a cornerstone of the country’s appeal to digital asset investors and entrepreneurs seeking favorable conditions. Such policies have contributed to the nation’s rising prominence in the sector over the past several years.
A Henley & Partners assessment found the UAE maintains a sophisticated multi-layered regulatory framework for digital assets. The Virtual Assets Regulatory Authority oversees dedicated rules in Dubai while the Dubai International Financial Centre operates its own crypto-specific regime, the report noted. Additional established systems in other financial centers further strengthen the overall environment according to the firm’s analysis.
Chainalysis figures show the UAE received more than 56 billion dollars in cryptocurrency value during the 2024-25 period, marking a 33 percent year-on-year increase. Regional transaction volumes across the Middle East and North Africa have expanded from approximately 100 billion dollars in 2022 to an estimated 350 billion dollars in 2025-2026, with the UAE accounting for a significant share, a Bitcoin Policy Institute analysis indicated. These metrics reflect growing adoption that complements the regulatory advancements highlighted in the Henley ranking.
Global crypto wealth has expanded to 2.6 trillion dollars amid rising numbers of high-net-worth digital asset holders, according to the Henley & Partners Crypto Wealth Report 2026. The index underscores how jurisdictions like the UAE combine progressive taxation with robust innovation ecosystems to attract crypto-related migration and investment. The latest results mark the fourth consecutive year Singapore has led the list while highlighting the UAE’s consistent gains.
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