March 29, 2024

In the UAE, real estate agencies will report transactions using cryptocurrencies

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In the UAE, real estate agencies will report transactions using cryptocurrencies

The UAE government, amid a global tightening of anti-money laundering measures, has obliged real estate agencies to inform the AML regulator about transactions using cryptocurrencies.

Minister of Economy of the United ArabUAE's Abdulla bin Touq Al Marri said the new rules would leave "little or no room for manipulation or illegal practices that could negatively impact the work environment, the economy and investment" in the real estate industry. and jurisprudence. 

The UAE authorities require brokers, agents andlaw firms submit reports to the UAE Financial Intelligence Unit, which is responsible for compliance with anti-money laundering (AML) regulations, and provide information on digital asset transactions if the buyer pays more than 55,000 dirhams (about $15,000) in cash.

The government has not set a threshold forcryptocurrencies, meaning that even minimal transactions with bitcoins will be detected. The tightening of regulatory measures is likely due to massive initiatives by cryptocurrency companies such as Bybit, Kraken, Binance and Crypto.com, seeking to create new crypto hubs in Dubai and Abu Dhabi. 

Following statements from foreign crypto businessesReal estate developers in the UAE have announced that they will begin accepting payments for real estate in Bitcoin (BTC) and Ether (ETH). Last month, it was reported that Dubai, amid the global growth of Web3, was launching a project to develop the metaverse, primarily aimed at artificial intelligence.