Transcription
Dubai and the UAE have emerged as one of the most attractive places in the world for people who have made money in crypto. So let's say you have a lot of crypto investments and you would like to cash out this crypto. Moving to the UAE is one of the best things you can do.
Obviously, first of all, because the UAE offers you 0% capital gains tax on all of those crypto gains. And on top of this, the UAE government is actually very crypto friendly. They are encouraging crypto. They are welcoming people who have crypto. They are not one of those governments who thinks you're evil because you hold crypto. They actually like crypto, which cannot be said for a lot of governments in the world today.
However, that does not mean that the UAE is some wild west where you can just come with illegal crypto and cash it out with no consequences. That is not at all what we're talking about here. What I am talking about is doing things legally. If you're not doing this legally, if you have illegal crypto, I'm not interested in helping you. This video is not for you at all.
But this is for those of you who have crypto gains, who would like to come to the UAE and cash this out, but who are not sure exactly how to practically cash out crypto without any issues. Because while the UAE government is crypto friendly, that doesn't mean that there are not going to be any questions. That doesn't mean that there cannot be any KYC. And that doesn't mean that every private institution is going to be crypto friendly because banks still everywhere in the world pretty much including the UAE are not always necessarily the most crypto friendly. If you have a large cash outing crypto to your bank account, they are going to ask questions.
So, in this video, I just want to help you to figure out what is the safest and easiest way to cash out crypto in the UAE so that you can take your crypto and turn it into fiat currency or whatever assets you want with minimal issues. But before you even cash out this crypto, I need to tell you how to get your tax set up properly in the UAE so that you can legally do this with zero taxes.
Because a lot of people think that you can just come to the UAE, like just book a flight there, come as a tourist, use one of the Dubai OTC crypto counters and transfer your crypto into cash and now you don't have to pay any taxes because you did this while physically in the UAE. This is not how it works. Where your crypto gains are taxed depends on your tax residence. So if you want to do this tax-free, this is one of the reasons you want to use the UAE. You first need to make sure that you are a non-tax resident in your home country wherever you're living right now if it is a high tax country and also on top of that properly set up as a tax resident in the UAE. That means that you need to look at the rules of your home country on how you can exit the tax system which means relocating out of the country which in many cases means proving to that country that you're now actually living in a different country. The rules depend case by case. I have country-specific videos on this channel. And then on top of that, you want to make sure that you'll spend at least 90 days in the UAE in the tax year when you are doing this cash out to have a tax residence in the UAE so that everything is fully completely legal on the tax side. And this is a process that has to be done properly.
And if you come to UAE, I will warn you that there is a big industry of agents who will tell you whatever you want to hear. They will tell you, "Oh yeah, no worries. We'll set you up here. You don't need to worry about your home country. They're not going to find out." There are so many people who will tell you this. These very desperate agents who just want to sell you a setup as fast as possible because they are desperate for their commissions. You want to make sure that you work with people who actually understand this process, who actually are willing to tell you the truth even if it's not what you might want to hear and who know how to do this properly.
Now, if you're looking for an agent like this, I highly recommend that you work with the people from Gen Zone who I have been partnered with and working with for the past 2 and a half years. They are people who actually care about their clients. They know what they're doing. And if you don't believe me, you can literally just look at their Google reviews. Literally just go look at Gen Zone's Google reviews and go look at the Google reviews of all of these other companies that you're going to find on Google. And then let's just say you can make up your mind on your own based on that. And they also understand crypto people. The founders who I know personally are also in crypto themselves. So they understand the needs of crypto people. They have cashed out crypto themselves. They have helped dozens and dozens of crypto investors specifically relocate to the UAE and go through this entire process. So, if you're interested in that, you can book a free consultation with someone from their team from the first link down below in the description and they can get you started.
Now, the first way to cash out crypto is going to be using one of the licensed crypto exchanges in the UAE. And I emphasize licensed because not all of them are licensed. More and more of them are becoming licensed. And if you want to know which exchanges are regulated, there are two regulatory bodies in the UAE that regulate crypto exchanges. These are VAR in Dubai and Abu Dhabi Global Market or ADGM in Abu Dhabi. You just want to go to their website and make sure that the exchange that you want to use is on their list or that on the website of the exchange it says that it's regulated by one of these agencies because it is only when they are regulated by one of these agencies that using them to cash out crypto is actually fully legal and compliant in the UAE. So it is very, very important that you use a regulated agency. For example, OKX is a big exchange that is regulated. That is the one that I use personally. And with these licensed exchanges, you can most often convert crypto directly into cash on your bank account. So you don't need to use any P2P methods or something like that. I do not recommend using P2P in general. For example, with Binance, you can use P2P, but you cannot use this direct cash out, at least as of filming this. So I do not recommend doing that. A lot of people have been getting into trouble with that.
And when you go through this process, do not think that this means that you can just cash out $10 million worth of crypto and there's not going to be any questions. There are going to be questions. The UAE wants to keep themselves as fully clean. They've just been removed from the grey list with the EU. So, there is going to be KYC that you're going to have to do. And there are going to be questions asked possibly if you do cash out very, very large amounts at once. So, if you are a new resident with a new account, what I recommend doing is doing it bit by bit. So, you don't cash out your entire big amount immediately. Especially if it doesn't match your KYC profile, you do it a little bit. You do it bit by bit. And even then there might be questions that are asked, but then as long as your funds are legit, there's not going to be any issues. You just answer their questions and then everything is going to be fine. And if you use a crypto-friendly bank, for example, WEO bank or Emirates NBD, this is going to be easier for you.
And additionally, again, if you are a Gen Zone client, they can actually help you first of all set up these crypto exchange accounts for you much, much faster and easier than if you were trying to do this on your own. And they can also help open bank accounts both with WEO as well as Emirates NBD and help do this cash out process for you with their VIP white glove service. And why can they do this? Well, they can do this because they are directly partnered with three of the main exchanges that are regulated in the UAE including OKX and Bybit. So if you're using them to get set up in the UAE, you also get this service as well.
So what are the other methods of cashing out crypto? Well, the second way is to buy real estate. The UAE is actually one of the only countries, in fact, maybe even the only country in the world, you can buy real estate directly with cryptocurrency. So, this saves you the step of having to convert it into fiat currency and then buy the property with that. But this doesn't mean that you can do it for any property or any ready property. It is legal in the UAE to do this, but it obviously depends on the seller. Are they willing to accept crypto or not? A lot of them are, some are not. So, that just depends. And it also depends on the developer. If you're purchasing a new development directly from the developers, certain developers accept it, certain ones do not. So, it is case by case. Again, if you also want to buy real estate in the UAE, you can also work with Gen Zone. I also use them myself to buy my property in the UAE. They also understand this process. They have helped clients go through this process without crypto obviously and also with crypto as well. So, they know the process. They work directly with an escrow company which is one of the companies that is used as a middleman when you are buying a property with crypto because what happens normally in these transactions is that you as the buyer are here, the seller is here, and in the middle there is an escrow company where the escrow company receives the funds from the buyer and then only after the title deed is given to the buyer the escrow company then transfers the funds to the seller to make sure that there is no scams involved in this process. So if you work with Gen Zone, they also partner directly with one of these escrow companies. So they can help you go through this process.
You can also buy other assets directly with crypto including luxury cars or watches and pretty much anything you might think of buying. It is legal to use crypto to buy this. Again, it just depends on the particular dealership and company on whether they are willing to accept crypto or not. A lot of luxury car dealerships, for example, are willing to accept crypto. Although often you are going to have to use USDT, so not Bitcoin or Ethereum directly. So just be aware of that. A lot of watches you're going to be able to buy with crypto.
And there is also the fourth method of using one of these OTC counters to convert crypto into cash. So the way this works is that there's a lot of these companies around in Dubai where you can just go to the branch physically, tell them, I have this and this much Bitcoin. I would like to transfer it into cash. And then what you do is you give them the crypto and they give you physical cash on the spot. Now I would be very, very careful with this because a lot of these companies are not licensed with their regulatory agencies. So if you use it, make sure that the company that you're using is licensed, but a lot of them are not going to be. So I would probably not use this myself just to be on the safe side because it is something that you can get into issues with if you're not using a licensed one.
And in general, the main thing you need to understand about this process is that as long as your crypto is legal, while there might be some hurdles, you might be, there might be questions you have to answer because again, this is no longer a wild west, they do still need to protect themselves against the risks of money laundering and things like that. While that might be the case, as long as your crypto is legal, you are going to be able to cash it out and there are not going to be any issues. People do it all the time in the UAE. It is the reason why it is so popular for crypto investors. So if you want more details on that, you want expert help to first of all set up in the UAE as well as cash out your crypto, you can book that free consultation with Gen Zone down below in the description.
And if however you are not necessarily a crypto investor but a crypto trader or perhaps a forex trader and you want to understand how to set up in the UAE and pay zero taxes on your crypto trading profits, then you can watch this video right here for the details on that. Stavino next and I will see you in the next.