Dubai residents will be able to pay for government services with cryptocurrency

The Dubai Department of Finance (DOF) has announced a partnership with crypto platform Crypto.com to introduce digital assets into the government payment system.

Now citizens and residents will be able to pay for government services through the Crypto.com crypto wallet. It is reported that customers will not need to carry out any manipulations with funds - the platform itself will convert crypto assets into dirhams, which after payment will be sent to the regional budget. The authorities hope that this initiative will help attract up to 8 billion dirhams ($2.1 billion) annually to the Dubai economy.

Mohammed Al Hakim, head of Crypto.com's UAE operations, called the project "the world's first mass collaboration between cryptocurrencies and the public sector." According to him, this is not just a marketing initiative, but part of a long-term digitalization strategy that should improve the efficiency and accessibility of services. The new mechanism allows for the integration of blockchain technologies into government processes without violating the regulatory framework.

Experts point out that such a model could become an example for other countries seeking to legalize the use of cryptocurrencies in the everyday economy.