Key Notes
- It was earlier reported that UAE has banned Bitcoin trading in its region.
- Authorities clarified that crypto issuers only need the proper license to offer Bitcoin and other crypto services.
- Bitcoin price is currently around $95,000.
The United Arab Emirates was earlier accused of placing a ban on the use of Bitcoin
BTC
$94 654
24h volatility:
7.7%
Market cap:
$1.89 T
Vol. 24h:
$125.94 B
in its region.
Co-founder of Trading Protocol, Millom Ohtamaa, announced the ban on X, citing that it is bad news for “all crypto habibis in Dubai.” However, detailed examination of the facts shows that this news may actually be false.
Trading Bitcoin in the UAE Is Not Illegal
In Ohtamaa’s post, he claimed that the UAE has banned flagship cryptocurrency Bitcoin. He noted that the new Central Bank of the UAE Law was issued in the Official Gazette and became legally effective as far back as September 16, 2025.
Based on the law, it is a crime to offer any unlicensed “tools,” which include self-custodial Bitcoin wallets, blockchain explorers, and coin market cap sites.
This means that any of such crypto-related businesses will require a license to offer their services to the citizens of the United Arab Emirates.
Beyond the prohibition, “it now expressly captures the facilitation of such activities, either directly or indirectly,” Ohtamaa explained. He added that the “only Bitcoin you are allowed to own is one permitted by the Central Bank of the UAE.”
He claimed that anyone who violates the UAE law could face fines in USD. However, the crypto community on X quickly pointed out that this was misleading.
Users noted that the law does not make holding Bitcoin illegal. Instead, it focuses on crypto issuers, requiring them to have a license to offer their services.
As a result, UAE residents can still legally hold and trade Bitcoin without restrictions.
Bitcoin Ecosystem Reel in Massive Losses
While these conversations are ongoing, the Bitcoin price is struggling below $100,000.
It’s currently trading at $95,868.46, with a 6.92% dip over the past 24 hours. This coincided with the period when the broader crypto ecosystem recorded up to $658 million in liquidations.
Bitcoin Exchange-Traded Funds (ETFs) are also underperforming, including BlackRock’s iShares Bitcoin Trust ETF (IBIT).
They recorded their second‑largest outflow in history, with roughly $870 million exiting on a single day. This incident drove the BTC price down to $96,000 before it finally hit its present level.
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Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Benjamin Godfrey is a blockchain enthusiast and journalist who relishes writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain media and sites.
Godfrey Benjamin on X
Source: https://www.coinspeaker.com/no-united-arab-emirates-did-not-ban-bitcoin/
