UAE Expands Regulatory Oversight to Include DeFi and Web3 Projects

According to ChainCatcher, the United Arab Emirates has introduced new regulations under Federal Decree No. 6, which will bring decentralized finance (DeFi) and Web3 projects under its regulatory framework. Platforms offering payment, trading, lending, custody, or investment services must obtain a license from the UAE Central Bank. The law will take effect on September 16, 2025, ending the "just code" defense for regulatory exemptions. Violators could face fines of up to 1 billion dirhams (approximately $272 million) and potential criminal penalties. Legal experts clarified that the regulation does not prohibit individuals from using self-custody wallets but extends regulatory oversight to businesses. Projects are required to complete compliance adjustments by the transition deadline in September 2026.