The Abu Dhabi Global Market’s Registration Authority (RA) has moved to formalize the legal standing of digital asset production by publishing a discussion paper outlining a dedicated regulatory framework for crypto mining activities.
In a strategic shift announced Wednesday, the RA proposed that mining be regulated as a licensed commercial activity rather than a traditional financial service.
The move reflects the UAE capital’s commitment to creating a stable and predictable environment for the industry while continuing to offer the robust oversight typical of an international financial center.
The guidelines proposed, as discussed in the Discussion Paper No. 1 of 2026, are encouraging a technology-neutral approach. This means the guidelines can be applied to different types of consensus algorithms, including Proof of Work and Proof of Stake, as well as to new technologies.
The ADGM is working to simplify the entry of international businesses into the mining industry by treating it as a commercial activity.
Global Governance and Supervisory Oversight in Abu Dhabi
At the heart of the new framework is the emphasis on operational integrity and corporate transparency. In line with the RA’s vision, registered entities will be required to comply with strict regulations on beneficial ownership disclosures and risk-based supervision. The regulations are specifically designed to take into account the scale and complexity
Industry players, including tech firms and auditors, will have until March 20, 2026, to provide their feedback. This is an important process, especially as the ADGM works to strike a balance between its aspiration to be a global virtual assets hub and the need to ensure compliance is taken very seriously.
As investment continues to pour into the region, especially in terms of infrastructure, this is an important step towards institutionalizing the digital economy in Abu Dhabi.
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