Federal Decree Law No. 6 expands the UAE central bank’s authority over DeFi, ending the “just code” defense and imposing penalties of up to $272 million.
A new financial law in the United Arab Emirates is set to bring decentralized finance (DeFi) and the broader Web3 industry under regulatory parameters, signaling an important shift for the industry.
The UAE’s new central bank law, Federal Decree Law No. 6 of 2025, introduces “one of the most consequential regulatory shifts” for the crypto industry in the region, Irina Heaver, a local crypto lawyer and founder of NeosLegal, told Cointelegraph.
“It brings protocols, DeFi platforms, middleware, and even infrastructure providers into scope if they enable activities such as payments, exchange, lending, custody, or investment services,” Heaver said.
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