Watch: The regulatory contrasts between Europe and the UAE
The UAE gaming sector has transformed over the past year, with six licences granted by the General Commercial Gaming Regulatory Authority (GCGRA) and a 28 percent rise in casino-related searches, according to data from Dubai Casinos. Among the newly licensed entities are The Game LLC, which operates the UAE Lottery, and Wynn Al Marjan, which is developing the country’s first integrated casino resort.
Despite these developments, online gambling remains unlicensed, though interest in digital gaming is growing. Analysts predict that 2025 may bring further regulatory shifts, particularly in online gaming and sports betting.
A different regulatory approach in the UAE
Speaking with SiGMA TV, Miroslav Đurić, Solicitor and Attorney at Taylor Wessing, compared the regulatory landscape of the UAE with that of Europe, highlighting a fundamental difference in approach. He noted that European regulators tend to react to industry developments, whereas the UAE is taking a proactive stance to attract foreign investment.
“In Europe, we see regulators responding to developments, creating frameworks to ensure activities comply with regulation. However, in the UAE and the wider GCC (Gulf Cooperation Council) region, the government is taking a more strategic approach, setting up a level playing field in advance to attract foreign companies,” Đurić explained.
This forward-looking strategy has positioned the UAE as a hub for AI and crypto businesses, with an increasing number of firms relocating to the region.
Europe’s complex regulatory environment
Đurić pointed out that Europe’s regulatory process is significantly more complex due to the legislative structure of the European Union.
“Unlike the UAE, the EU consists of 27 member states, each with its own regulatory process. The complexity of decision-making in such a system means that regulations take time to develop. Even in the UK, now independent from the EU, political instability has slowed regulatory progress,” he said.
This complexity creates challenges for businesses operating across multiple jurisdictions, as they must comply with conflicting rules. “Before Brexit, financial institutions in London could serve the entire EU market. That’s no longer the case, and crypto firms are facing similar issues with differing UK and EU regulations,” he added.
UAE’s advantage in supporting innovation
According to Đurić, the UAE’s ability to adopt and implement regulations swiftly provides it with a competitive advantage. “The UAE is focusing on innovation and creating an environment where businesses can thrive, rather than imposing limitations, as seen in mature jurisdictions like the US, UK, or EU,” he said.
This regulatory flexibility makes it easier for emerging businesses to navigate compliance without the burden of conflicting rules across multiple regions. In contrast, European companies, especially smaller firms, struggle to maintain legal teams covering different jurisdictions.
The role of regulation in business growth
Đurić also discussed the increasing support for regulation within the crypto industry. He attributed this shift to the benefits regulation offers in securing funding and building credibility.
“In the crypto space, being regulated makes it much easier to raise funds, gain credibility, and onboard customers. When choosing a wallet or exchange, even I, as a lawyer, look at whether a firm is licensed and supervised. [The] regulation provides that trust,” he explained.
He further emphasised that a regulated status in one jurisdiction simplifies expansion into other markets. “If a company is regulated in its home jurisdiction, it becomes much easier to communicate with regulators in new markets and secure licences,” Đurić noted.
The future of UAE gaming regulation
As the UAE gaming industry continues to expand, regulatory developments are expected to shape its future. Analysts predict that online gaming and sports betting will be among the next sectors to gain regulatory approval, aligning with trends in other global gaming markets.
With its proactive regulatory approach, the UAE is positioning itself as a key player in both the gaming and broader digital industries. As Đurić highlighted, the country’s ability to adapt quickly and create an investor-friendly environment gives it a strategic advantage over traditional regulatory frameworks in Europe.
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