Crypto Asset Related
This section explains the benefits of doing crypto asset related business in Dubai.
1. Positioning of crypto assets in Dubai
Dubai and the UAE have been touted as a hotspot for crypto assets. As part of the "Dubai Blockchain Strategy," Dubai has committed to becoming the first city to fully leverage blockchain by 2020. The national and administrative units have positioned blockchain as an important strategy and are working to develop legislation and attract companies. Legislation concerning start-up companies related to crypto assets is also in progress, creating a favorable environment for blockchain businesses.
2. Taxes
In Dubai and the UAE, the tax rate on virtual currency is a whopping 0%.！(※)However, it is necessary to establish a corporation in the UAE. In Japan, corporations are subject to a tax rate of approximately 25%~35%. If your virtual currency trading profit is 10 million yen, in Japan, 2.5~3.5 million yen will be taxed, so your after-tax profit will be 6.5~7.5 million yen. In the UAE, on the other hand, you can keep 10 million yen in profit. Considering mid- to long-term business, the advantage of establishing a corporation in the UAE is very high.
We have extensive knowledge of the crypto asset startup situation in Dubai and the local laws and regulations. If you want to start a crypto asset business safely, please contact us using the "Contact Us" form below.
*Please note that the Japanese tax system will be applied when you lock in profits in Dubai for virtual currencies purchased in Japan.
3. Token and NFT Issuance
In Dubai and the UAE, startups can issue tokens to do business. This is due to the tax system in the UAE. Dubai has a 0% corporate tax rate, so there is no corporate tax on unissued tokens. On the other hand, Japan's current tax system makes it very difficult and practically impossible for startups to issue tokens. There are an increasing number of Web 3.0 startups from Japan based in Singapore and other countries, but Dubai is sure to be the next hot spot.
4. Incorporation and Account Opening
We support incorporation, token issuance, and account opening in Dubai. In addition to our expertise in setting up a local company, we have the latest information on laws and regulations, as well as on trends in crypto assets and NFTs in the Middle East. While the UAE is making national efforts to utilize blockchain, laws and regulations are changing at a dizzying pace. We always keep abreast of the latest information and provide consulting and support to make crypto assets a sustainable business.
If you are interested, please use the "Contact Us" form below.
Please note that the information is subject to change. Please use the "Contact Us" form for the latest information.
