Despite strict policies against cryptocurrency, there is increasing engagement among Kuwait's population, especially young people. This article examines the current state and potential future of the crypto industry.
Legal Situation on Cryptocurrency in 2025
As of 2025, Kuwait maintains a strong prohibitive stance on cryptocurrency and related activities, such as payments, mining, and trading. This ban was enacted through the Capital Markets Authority (CMA), which notified citizens of the risks associated with digital assets. Consequently, banks and financial institutions are prohibited from offering cryptocurrency services.
Public Use and Investor Behavior
Although illegal, cryptocurrency use and mining persist within the country. The tech-savvy youth are drawn to cryptocurrencies, accessing them via VPNs and offshore wallets to platforms like Binance and Bybit. This has resulted in an active crypto community projected to reach $58.1 million USD this year. The growth rate of these activities remains significant, despite legal shifts.
Startups, Fintech, and Blockchain Innovations
While Kuwait continues to distance itself from cryptocurrencies, there is a growing interest in innovations such as blockchain for modernizing public services. The Kuwait Vision 2035 initiative aims to create a more attractive business environment. Blockchain technology is being actively integrated into smart cities to enhance data security and resource efficiency.
Kuwait maintains strict measures against cryptocurrency; however, interest among citizens is growing, potentially leading to a relaxation of government control over time. The future of the crypto industry in the country remains uncertain and will depend on user behavior and policy changes.
