UAE Leads AI-Driven Crypto Push as HTX Navigates Regulatory Challenges

HTX Venture Lead Alec Goh has positioned artificial intelligence (AI) as a pivotal driver for the next wave of growth in the cryptocurrency sector, emphasizing the need for the market to refocus on fundamentals after a period of speculative excess. Speaking at the 2025 Blockchain Life Summit in Dubai, Goh highlighted structural weaknesses exposed by the 10·11 market crash, including liquidity shortages, leveraged risk concentration, and over-reliance on major market makers. He argued that the industry must prioritize robust infrastructure, security, and high-quality projects to rebuild retail confidence, according to a a Lookonchain report.

The exchange's Q3 performance underscored this shift. HTX Select, the platform's curated listing initiative, added 38 digital assets in the third quarter, with several tokens delivering multi-fold gains. Standout performers included ASTER, a decentralized perpetual trading platform, which surged 525% post-listing, and Avantis (AVNT), an algorithmic yield aggregator that rose 14x. Goh noted that AI agents and blockchain integration are entering a substantive development phase, with innovations like "Initial Model Offerings" (IMOs) and direct AI-agent-smart contract interactions expected to emerge as growth catalysts within 2-3 years, the Lookonchain report added.

However, regulatory scrutiny remains a pressing challenge. The UK's Financial Conduct Authority (FCA) has filed civil proceedings against HTX for allegedly promoting crypto services without authorization, targeting the exchange and unidentified individuals tied to its operations. HTX, which appears on the FCA's warning list, is not authorized to operate in the UK. The lawsuit follows stricter 2023 regulations requiring crypto firms to comply with financial promotions rules, reflecting broader global efforts to align digital assets with traditional financial frameworks, according to a ScanX article.

Meanwhile, the UAE has emerged as a leader in AI and digital asset adoption. A Dubai Chronicle article reported that a Standard Chartered study found 71% of UAE ultra-high-net-worth families plan to strategically invest in cryptocurrencies, NFTs, or tokenized assets—outpacing the global average of 69%. Additionally, 75% of UAE respondents trust AI tools for wealth decisions, provided human oversight remains integral. This trend aligns with HTX's focus on AI-driven blockchain projects, such as Sahara AI (SAHARA), which saw a 135.2% price increase in Q3.

As the crypto market navigates regulatory headwinds and technological evolution, Goh's vision underscores a transition from speculative trading to foundational innovation. HTX's strategy of prioritizing user-friendly infrastructure, DeFi protocols, and AI integration aims to bridge the gap between blockchain's technical capabilities and mainstream adoption. With the industry entering a "post-speculative era," the coming years will test whether these fundamentals can sustain growth amid shifting regulatory landscapes and evolving investor expectations, the Lookonchain report concluded.