Dubai Finance announced the successful completion of a preliminary technical test to settle digital assets (cryptocurrencies) in UAE dirhams for the instant payment of government service fees. This test was conducted in collaboration with the Dubai Land Department and through the “Dubai Payment” platform, managed by the Dubai Digital Authority. The transaction was facilitated by the platform “Fores Dax Middle East,” the first virtual asset services provider in the UAE to receive preliminary approval from the Central Bank of the UAE for a stored-value facility license.
The department explained that the successful test transaction was for the “Property Map Issuance” service, as part of testing technologies and systems within a secure environment before their official launch.
His Excellency Abdulrahman Al Saleh, Director General of Dubai Finance, affirmed that the success of this test represents “a proactive step towards the future of digital transactions in the emirate.” He noted that it aligns with Dubai’s efforts to adopt modern financial technologies in accordance with the highest security and compliance standards. He added, “At Dubai Finance, we are working to explore innovative financial solutions that contribute to developing the government payment system and enhance the transition towards a fully integrated digital economy, in line with the aspirations of our wise leadership.”
Hamad Al Mansouri, Director General of the Dubai Digital Authority, said: “The initial implementation of paying government service fees using digital assets represents a new milestone in Dubai’s journey towards comprehensive digitalization and a significant step forward in establishing the concept of a ‘city as a service,’ where modern financial technologies are integrated with the government services system into a single, seamless, and secure experience.” He added: “Enabling individuals and businesses to pay government service fees via digital assets embodies the spirit of innovation that distinguishes Dubai and reflects its ability to anticipate the future and adopt technologies that redefine the relationship between the government and its customers. This step not only diversifies payment options but also establishes an integrated digital economic model that supports the objectives of Dubai’s cashless strategy, contributes to achieving Dubai’s D33 economic agenda, and enhances the efficiency of the government services system.”
Omar Bushahab, Director General of the Dubai Land Department, explained that testing the payment of government transaction fees using an innovative method that settles digital assets in dirhams reflects the government’s commitment to using the latest digital technologies before full implementation. He emphasized that implementing the transaction is a first step to assess the efficiency of the systems and the potential for future expansion. He said, “We are working with our partners to ensure the readiness of the technical infrastructure and full regulatory compliance before proceeding with actual implementation.”
Ahmed Muftah, Executive Director of the Central Accounts Sector at Dubai Finance, said, “Through this test, we aim to verify the systems and their operational and technical efficiency, ensuring the highest levels of security when they are officially adopted in the future.”
Amna Lootah, Director of the Digital Payment Systems Regulation Department at Dubai Finance, confirmed that the first-of-its-kind government transaction, settling digital assets in dirhams, was completed in a secure, closed environment. The transaction value was settled in UAE dirhams through integrated systems that guarantee full compliance with regulatory requirements. This achievement is part of the collaborative efforts led by Dubai Finance to implement the objectives of Dubai’s Cashless Strategy, which aims to digitize 90% of financial transactions in the emirate by 2026.
Mohammed Al Hakim, Chief Operating Officer and General Manager for the UAE at Fores Dax Middle East, said: “This step comes as part of the initial approval granted by the Central Bank of the UAE, as a preliminary phase towards building a secure and sustainable digital payments ecosystem that serves the government sector and the community.”
Ahmed Al Qassim, Group Head of Business Banking at Emirates NBD, said: “Our participation in this pilot reflects our firm commitment to supporting Dubai’s ambition to become a leading global hub for innovation and digital finance, and we are proud to collaborate with Dubai Finance in establishing a robust and resilient future financial ecosystem.”