Executive Summary
The Story So Far
Why This Matters
Who Thinks What?
RAK Properties, a prominent publicly traded real estate developer based in the Ras Al Khaimah emirate of the United Arab Emirates (UAE), announced it would begin accepting major cryptocurrencies, including Bitcoin, Ether, and Tether’s USDt, for international property transactions. This move, announced on Monday, highlights the UAE’s burgeoning role as a global hub for digital assets, driven by its clear regulatory frameworks and absence of taxes on crypto profits.
Cryptocurrency Payment Integration
The company specified that payments would be processed through Hubpay, a regional global payments platform. Hubpay will facilitate the conversion of digital assets into the UAE’s local fiat currency before depositing the funds into RAK Properties’ accounts, streamlining the transaction process for international buyers.
Rahul Jogani, Chief Financial Officer of RAK Properties, commented on the strategic decision, stating, “By enabling and supporting the use of digital assets, we are engaging with a new ecosystem of digitally and investment savvy customers.” This initiative aims to tap into a growing segment of the market increasingly interested in digital asset transactions.
UAE’s Crypto-Friendly Environment
The UAE has rapidly emerged as a favored destination for the cryptocurrency industry, largely due to its proactive approach to regulation and its zero-tax policy on crypto profits. This supportive environment has fostered significant interest and adoption of digital assets across various sectors, with the crypto industry projected to become one of the country’s largest in the coming years.
RAK Properties Overview
RAK Properties, listed on the Abu Dhabi Securities Exchange since 2005, holds a market capitalization of approximately 4.7 billion dirhams ($1.3 billion). The developer reported a substantial 39% year-over-year increase in net profit, reaching 281 million dirhams in 2024, up from 202 million dirhams the previous year.
Ras Al Khaimah, the UAE’s fourth-largest emirate by area with a population of about 400,000, serves as the operational base for RAK Properties. The company plans to expand its portfolio with 12 new projects slated for 2025, although the total size of its expanded portfolio remains undisclosed.
RAK Properties’ decision to integrate cryptocurrency payments underscores the accelerating mainstream adoption of digital assets within the UAE’s real estate sector. This development further solidifies the nation’s position as a leading jurisdiction for crypto innovation and investment.
