ADGM offers a progressive and transparent regulatory framework for crypto businesses, supported by the ADGM Virtual Asset Framework (2023, amended 2025). It provides a robust environment with clear licensing and compliance obligations, promoting innovation and integrity.
| Status | crypto_friendly |
| Risk Score | 15/100 (Low Risk) |
| Region | middle east |
| Currency | AED |
| Capital Gains (Personal) | 0% (no personal income tax in ADGM/Abu Dhabi) |
| Capital Gains (Corporate) | 0% for Qualifying Free Zone Persons (QFZP) on qualifying income; 9% on non-qualifying income. QFZP status requires adequate substance, qualifying income test, and no election for standard regime. |
| VAT on Crypto | No |
The regulator page does not explicitly state specific tax rates or rules for crypto activities, but ADGM is known for a tax-friendly environment with no VAT on crypto transactions.
| Required | Yes |
| Regulator | FSRA |
| Framework | FSRA Virtual Asset Framework (Guidance – Regulation of Virtual Asset Activities in ADGM, VER07, effective 10 June 2025), complemented by the Fiat-Referenced Token (FRT) Framework (effective 1 January 2026) and the Virtual Asset Staking Framework (finalised April 2026) |
| Ease | medium |
| Cost (USD) | $25,000 - $150,000 |
Licensing is governed under the ADGM Virtual Asset Framework with clear application processes and compliance requirements.
No significant enforcement actions reported; jurisdiction actively encourages crypto business
| KYC Required | Yes |
| Travel Rule | Yes |
| FATF Member | No |
| FATF Status | clean |
| FATF Body | MENAFATF |
| Suspicious-Activity Reporting | Yes |
Status: regulated
DeFi activities are regulated under the ADGM Virtual Asset Framework, requiring compliance with AML and licensing rules.
Status: regulated
Fiat-Referenced Tokens (FRTs) are regulated under a dedicated FSRA FRT Framework (December 2024 issuance framework; expanded regulations effective 1 January 2026 via FRT Amendments). Algorithmic stablecoins are explicitly prohibited (June 2025). Privacy tokens are prohibited. Foreign FRTs accepted only if they meet FSRA assessment criteria on reserves, AML/traceability, regulatory standards, and commercial utility. Regulated activities covering FRTs include custody, payment services, and intermediation. Staking of Accepted Virtual Assets and Accepted Fiat-Referenced Tokens permitted under the finalised Staking Framework (April 2026).
Status: no_rules
No specific NFT regulation; generally permitted
| Legal | Yes |
| Electricity Cost | $0.06/kWh |
| Renewable Energy | 5% |
| Infrastructure | good |
Mining is legal with access to reliable infrastructure and competitive electricity costs.
| Stability | stable |
| Sanctions | No |
| Corruption Index | 67/100 |
| Banking Access | open |
Risk Factors
ADGM benefits from the UAE's stable political environment, strong infrastructure, and open banking system, though regional tensions remain a moderate risk.
ADGM offers a progressive and transparent regulatory framework for crypto businesses, supported by the ADGM Virtual Asset Framework (2023, amended 2025). It provides a robust environment with clear licensing and compliance obligations, promoting innovation and integrity.
Abu Dhabi Global Market is classified by FATF as: clean.
Yes, licensing is required for VASPs.
KYC is mandatory for crypto businesses.
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Explore IT Services →Last reviewed: 2026-06-01 · Data source: Soken Crypto Legal Map
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