UAE rises to No. 2 in global crypto ranking with 10 out of 10 tax score

Updated rules covering exchanges, custody and token issuance, together with the Digital Dirham and favourable personal taxation, were also among the factors cited in the assessment.

Singapore keeps top position

Singapore retained first place for a fourth consecutive year, while Hong Kong ranked third.

The US finished fourth with a score of 43.7 and was the only jurisdiction to receive a perfect 10 for public adoption, while Switzerland ranked fifth with 43.4.

Malta was sixth, followed by Thailand, the UK, Cyprus and The Bahamas.

The Bahamas entered the index in 10th place this year, while Bahrain was another new entrant at 13th globally.

Henley also ranked the UAE first in its separate Wealth Mobility Competitiveness measure with a score of 85.3 out of 100. Singapore followed at 79.5, New Zealand at 75.8, the Cayman Islands at 74.3 and Cyprus at 73.5.

Dubai regulation in focus

Dubai’s establishment of a standalone virtual asset regulator in 2022 was among the developments highlighted in the report.

Henley said regulatory clarity and the taxation of digital assets are among the factors shaping competition between international jurisdictions seeking to attract wealthy and globally mobile digital asset investors.