UAE investors are rushing ahead in the digital asset space, driving down global adoption rates and creating a huge opportunity for traditional wealth managers to evolve. Otherwise, they risk being left behind in the race for dominance in crypto finance.
UAE crypto momentum suggests massive wealth transfer opportunity
Global investors are rapidly increasing their exposure to digital assets, and the United Arab Emirates (UAE) is emerging as one of the world’s most developed markets. Global wealth tech provider Avaloq, a subsidiary of NEC Corporation, last week released a report entitled ‘Avaloq Wealth Insights 2025’, revealing that UAE investors are leading their global peers in crypto adoption as asset managers rush to modernize their advisory systems. The research is based on a survey of 3,851 investors and 456 wealth professionals across 15 markets conducted in February and March 2025.
The report states:
Almost two-thirds (64%) of UAE asset managers believe they would welcome improvements to cryptocurrency and digital asset offerings to improve this.
“39% of UAE investors hold crypto and digital assets, higher than the global average of 30%. Cryptocurrency exchange usage is also high, with 93% of UAE investors participating in these platforms compared to 86% globally,” Avalock found, highlighting that this increased engagement highlights the UAE’s growing position as a digital asset hub, supported by strong policy direction and regulatory clarity. However, the report notes that while investor demand in the UAE is increasing, the wealth management sector still lags behind technological advancements.
Adoption within traditional financial institutions remains limited, suggesting a potential service gap that could reshape regional asset management models. Avaloq’s report also found:
Of those who have not yet invested, 51% said they would consider investing if offered by a traditional provider. This is a remarkable opportunity for UAE asset managers, but only 30% currently feel competent to advise clients on these assets.
This data suggests that companies that can incorporate cryptocurrencies into their regulated asset management services will gain a competitive advantage. With the combination of the UAE’s innovation-friendly regulations, high investor confidence, and growing wealth mobility, Avalock predicts that digital assets will continue to define the next phase of financial growth in the country.
FAQ 🧭
- How advanced is the UAE in terms of cryptocurrency adoption compared to the global average?
39% of UAE investors hold digital assets, compared to the global average of 30%, demonstrating the region’s leadership in crypto efforts. - What role do traditional financial institutions play in the growth of cryptocurrencies in the UAE?
Many investors will enter the crypto market if it is offered by traditional providers. This is proving to be an important growth avenue for legacy companies. - Why are UAE wealth managers looking for better digital asset tools?
64% of UAE asset managers want stronger crypto capabilities to meet investor demand and fill advisory gaps. - What future trends do you foresee for the UAE wealth and crypto sector?
Avalock predicts that cryptocurrencies will continue to dominate in the UAE due to investor confidence, policy clarity and wealth transfer.