RAKBANK Launches UAE's First AED-Denominated Crypto Trading Service

The United Arab Emirates' RAKBANK, a government-owned financial institution, has introduced a groundbreaking service allowing retail customers to trade cryptocurrencies directly in UAE Dirham (AED) for the first time in the country [1]. The bank now enables users to buy and sell Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and XRP using AED through its mobile banking platform. This development marks a significant step toward integrating digital assets into mainstream banking, offering a regulated and streamlined trading experience without requiring conversion to foreign currencies like the US dollar or euro.

RAKBANK’s platform operates in collaboration with Bitpanda Broker MENA DMCC, a Dubai-regulated subsidiary of the Vienna-based crypto exchange Bitpanda. The system allows customers to transact directly from their savings or current accounts, eliminating the need to transfer funds to external crypto wallets [1]. By denominating transactions in AED, the bank reduces exchange rate costs and simplifies access for local users. The service is initially launched on an invitation basis, with plans to expand to a broader customer base in the future.

The initiative positions RAKBANK as the first conventional UAE bank to embed crypto trading into its retail offerings. CEO Raheel Ahmed emphasized the service’s efficiency and regulatory compliance, stating it is designed to “deliver a seamless crypto trading experience in AED” [1]. This move aligns with the UAE’s broader efforts to formalize digital asset frameworks, as highlighted by industry observers.

The announcement has drawn attention from market commentators. An X user under the handle Gauss Research noted that the development reflects growing institutional legitimacy in the crypto sector, describing it as “another sign that crypto is becoming a regulated, bank-grade asset class” [1]. Meanwhile, ALTUcard, another X contributor, highlighted RAKBANK’s substantial asset base of $24 billion, suggesting its entry into crypto signals “a massive signal for Middle East crypto” and anticipates a regional wave of similar initiatives [1].

By integrating crypto trading within a regulated banking environment, RAKBANK addresses a critical barrier to adoption: the complexity and costs associated with cross-currency transactions. The bank’s approach aligns with the UAE’s evolving financial landscape, where digital assets are increasingly viewed as part of a diversified investment ecosystem. The service’s focus on AED-denominated transactions also caters to domestic demand, ensuring that users can engage with cryptocurrencies without exposing themselves to foreign exchange volatility.

The partnership with Bitpanda underscores the importance of infrastructure in scaling crypto adoption. Bitpanda’s regulatory compliance in Dubai and its established technology likely played a key role in RAKBANK’s decision to launch the service. This collaboration may serve as a blueprint for other banks in the Gulf and beyond, where regulatory frameworks are still maturing.

While the announcement does not specify transaction limits or user caps, the invitation-based rollout suggests a cautious, phased approach. This aligns with the UAE’s reputation for balancing innovation with risk management, a strategy that has positioned the country as a regional hub for fintech and blockchain innovation. The absence of speculative rhetoric in RAKBANK’s messaging—focusing instead on integration and regulation—reflects a broader industry shift toward institutional-grade solutions.

The move has implications beyond the UAE. As regional banks begin to adopt similar models, the Middle East could see a surge in retail crypto adoption, driven by the ease of local currency transactions and institutional credibility. However, the long-term impact will depend on factors such as user uptake, regulatory clarity in neighboring jurisdictions, and the ability of banks to manage risks like volatility and fraud.

Source: [1] XRP Records Another Win With Government-owned Bank in UAE (https://coinmarketcap.com/community/articles/6888d17d135ecb116e5d65f2/)