How to start a Web3 business in Dubai

What is a Web3 business and why Dubai?

Web3 represents the next stage in the evolution of the internet, where decentralized platforms are powered by blockchain technology and users have true ownership of their digital assets. It includes projects like decentralized finance (DeFi), non-fungible tokens (NFTs), decentralized autonomous organizations (DAOs), and metaverses. Web3 businesses develop these technologies, build platforms, or offer related services.

Web3 is closely connected to crypto assets. In most Web3 projects, crypto assets are used for payments, investments, or governance. Therefore, when we speak about starting a Web3 business, we usually refer to a crypto-related business — not one focused on trading or exchanging cryptocurrencies, but on developing blockchain-based technologies or providing related consulting services.

Dubai: a modern, forward-thinking digital asset hub

Dubai is positioning itself as a global leader in digital asset innovation, supported by initiatives like the Dubai Blockchain Strategy, which aims to make the emirate a hub for blockchain-powered services and transactions.

Separately, the UAE’s Central Bank is piloting the Digital Dirham — the UAE’s central bank digital currency (CBDC) now in its pilot phase — designed to modernize cross-border payments and streamline national settlements. While not yet available to the public, it marks a decisive step toward a state-backed digital monetary system.

Alongside public initiatives, the private sector is also thriving. Stablecoins — digital tokens pegged to fiat currencies — are increasingly used within Dubai’s Web3 ecosystem. One example is DRAM, an AED-pegged stablecoin enabling blockchain-based payments and settlements.

Why choose the UAE to start a Web3 business

1. Dedicated free zones for Web3 activities

Dubai is home to the DMCC Crypto Center — a specialized ecosystem within the Dubai Multi Commodities Centre that supports a wide range of Web3-related business activities. The list of permitted activities is extensive and continues to expand as the market evolves. Another dedicated hub is RAK Digital Assets Oasis (RAK DAO) in the Emirate of Ras Al Khaimah, offering flexible licensing options for digital and virtual asset companies.

2. No need for financial regulation if you're not handling client funds

Unlike cryptocurrency exchanges or trading platforms, most Web3 businesses are not subject to financial regulation. If your company develops digital asset solutions, builds blockchain infrastructure, or provides related consultancy services — and you don’t manage third-party funds — you don’t need to obtain approval from VARA or other financial regulators. This reduces time to market, simplifies the licensing process and lowers setup costs.

3. Business-friendly tax regime

The UAE offers a zero percent corporate tax on profits up to AED 375,000. Above that threshold, a 9% rate applies — still one of the lowest in the world. Additionally, small businesses and freelancers can benefit from the Small Business Relief scheme, under which companies with annual revenue below AED 1 million are exempt from corporate tax entirely.

4. Advanced IT infrastructure

Dubai has invested heavily in digital infrastructure, particularly in key business districts. Reliable cloud services, modern data centers, high-speed connectivity, and a growing number of blockchain-enabled platforms support the technical needs of Web3 startups.

Startup costs and licensing options

RAK DAO

• Registration costs start from AED 30,000 – 40,000
• Registration time: 1–2 weeks
• Low capital requirements, flexible office options
• Minimal compliance ideal for startups and smaller teams

DMCC Crypto Centre

• Registration costs start from AED 50,000 – 60,000
• Registration time: 2–4 weeks
• Requires minimum AED 50,000 capital
• Annual audits and higher compliance suitable for scaling and institutional clients