ADGM publishes first IFC crypto mining guidance in region

Abu Dhabi’s international financial centre has set out a commercial licensing framework for crypto mining operators, separating the activity from regulated financial services

Staff Writer
ADGM - The International Financial Centre of Abu Dhabi
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Article summary

AI Generated

Abu Dhabi Global Market's Registration Authority has published its first crypto mining guidance, establishing a commercial licensing route for operators and drawing a clear boundary between mining and regulated financial services. The guidance covers governance, beneficial ownership disclosure, and risk-based supervision, with a fuller regulatory framework to follow.

Key points

  • ADGM publishes the region's first IFC-level crypto mining guidance
  • Mining classed as a commercial activity, not a regulated financial service
  • A second phase regulatory framework will follow, with market consultation ahead

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The Registration Authority of Abu Dhabi Global Market has published guidance on crypto mining activities conducted in or from ADGM, establishing a commercial licensing pathway for operators and marking what the authority describes as the first comprehensive crypto mining guidance issued by an international financial centre in the region.

The guidance, issued under section 23 of the Commercial Licensing Regulations 2025, treats crypto mining as a licensable commercial activity overseen by the Registration Authority rather than a regulated financial service. It applies across Proof-of-Work, Proof-of-Stake, and future consensus mechanisms, taking a technology-neutral stance.

Key elements include a dedicated business activity code for crypto mining (code 7230), a pre-application self-assessment tool to help operators determine whether their activities fall under commercial licensing or the Financial Services Regulatory Authority’s remit, and risk-based supervision calibrated to the scale and risk profile of individual operations. The guidance also addresses governance expectations around corporate structure disclosure, ultimate beneficial ownership, and the confidential disclosure of on-chain reward-flow addresses.

“Abu Dhabi’s economy is increasingly shaped by digital infrastructure, and crypto mining sits at the intersection of energy, technology and capital. With this Guidance, ADGM is open to responsible crypto mining. We are giving operators a clear commercial licensing pathway, proportionate supervision calibrated to scale and risk, and certainty on where the regulatory perimeter resides. Businesses that meet high standards of governance, transparency and operational integrity will find in Abu Dhabi a jurisdiction where they can plan, invest and grow with confidence. This Guidance reflects ADGM’s wider approach to innovation, enabling new business models to develop within a trusted and well-governed environment,” Rashed Al Blooshi, CEO of the RA of ADGM said in a statement.

The guidance followed an eight-week public consultation earlier in the year. The Registration Authority described the feedback as substantive and said it shaped the final document.

This is framed as a first phase. A second phase will involve developing a fuller regulatory framework for crypto mining, with market consultation to follow in due course.

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