According to a BusinessWire article from January 2023, the UAE’s non-fungible token (NFT) market is predicted to expand by 45.5% annually to reach US$982.1 million in 2022. Between 2022 and 2028, the NFT market is predicted to increase at a CAGR of 32.1%. The study showed that the value of NFT spending in the nation would rise from $982.1 million in 2022 to $4.75 billion by 2028.
Although there has been an obvious increase in the purchasing, selling, and creation of NFTs in the UAE, more and more nations are attempting to put harsh regulatory measures on NFTs. This article will provide insight into the present status of the UAE NFT industry and its future prospects.
The Current Status of the UAE NFT Industry
As more and more business owners, organizations, and celebrities join the rapidly expanding sector, the non-fungible token (NFT) landscape is increasing. The United Arab Emirates (UAE) market, like the rest of the world, is quickly embracing NFTs. The UAE is developing into a major international centre in the burgeoning NFT industry, with the nation long regarded as a good location for doing business.
A recent industry estimate showed that the United Arab Emirates non-fungible token (NFT) market is predicted to grow from $982.1 million in 2022 to $4.7 billion by 2028.
According to the survey by ResearchAndMarkets, the increasing number of entrepreneurs, companies, and celebrities entering the market is what is fueling the expansion of the UAE NFT scene.
The report also emphasized that the UAE is developing into a significant worldwide hub in the booming sector of NFTs since the nation has long been regarded as a good location for conducting business. Numerous cutting-edge NFT markets have also appeared in the nation over the past 12 months, making it relatively more manageable for people to acquire, sell, and trade in NFTs.
Furthermore, the report stated that “several players are entering the UAE NFT market, from NFT-based startups to cryptocurrency exchanges; the existence of several NFT marketplaces has also supported the rising value of NFT trading transactions. He also added that the trend is expected to become even more popular over the next three to four years in the UAE.”
NFTs In the Future
Embassies in the UAE have traditionally embraced cutting-edge technology, including NFTs.The postal service in the nation produced NFT stamps to commemorate the federation’s National Day in honour of the UAE’s 50th birthday. With the NFT curatorial platform MORROW, Dubai Culture also entered the NFT market.
The Dubai Culture exhibition, titled 50/50 to commemorate the occasion, featured creations by Khalid Al Banna, Gigi Gorlova, Alia Al Gaoud, Marwan Shakarchi, and Dalal Ahmed. A recent Kaspersky research showed that more than half (67%) of UAE residents who have heard of NFTs believe it to be a high-risk investment with the potential for substantial profits.
