The cryptocurrency sector is flocking to Dubai as the excitement surrounding Trump begins to fade.

Crypto enthusiasts gathered in Dubai on Wednesday for TOKEN2049, a major two-day event drawing around 15,000 attendees and featuring top executives from global crypto firms, major investment players like BlackRock and Goldman Sachs, and political figure Eric Trump, son of the U.S. president.

The event takes place amid a shifting global mood. Although U.S. President Donald Trump has promised to ease crypto regulations and even launched his own cryptocurrency, the excitement that followed his election win is waning. Bitcoin, which reached record highs post-election, has since dropped about 12%, affected by ongoing global trade tensions and concerns over the slow pace of regulatory reform.

Industry figures remain cautiously optimistic. “In the long term, it’s going to be good for crypto,” said Miklos Veszpremi, COO of a web3 streaming platform, “but it really relies on the world economy picking up again.”

Despite current volatility, 2025 has seen a strong start for the sector. Global venture capital investment in crypto reached $5.4 billion in Q1 2025—the best since mid-2022, according to PitchBook.

Attendee Herbert R. Sim, wearing a bitcoin-themed jacket, noted that while it’s hard to predict Trump’s full impact, the regulatory environment in the U.S. appears to be easing. Around him, attendees queued for zip lines and browsed packed marketing booths, while camels lounged nearby—an emblematic fusion of tech and tradition in Dubai.

Dubai as a Crypto Hub

The United Arab Emirates (UAE) continues to position itself as a global crypto hub. Numerous crypto companies are setting up operations in the country, drawn by favorable regulation and infrastructure.

Binance, the world’s largest crypto exchange, announced in March that it received a $2 billion investment from Abu Dhabi-backed MGX, strengthening its UAE ties. Binance founder Changpeng Zhao, who served four months in prison for violating U.S. anti-money laundering laws, stepped down as CEO as part of a $4.3 billion settlement but remains a key shareholder. His appearance at the event was met with loud applause.

The UAE's commitment to crypto is further evidenced by recent initiatives. Dubai’s Emirates NBD bank now offers crypto trading through its digital platform Liv. The Dubai Multi Commodities Centre (DMCC), home to over 600 crypto firms, has announced plans to build a “crypto tower” by 2027 to support growing demand.

Eric Trump also revealed that buyers of units in a newly announced Trump-branded residential tower in Dubai will be able to pay in bitcoin—a symbolic gesture aligning the Trump brand with Dubai’s crypto-forward image.

“It’s much easier to do business here,” said German attendee Andre Liesenfeld, referring to Dubai’s welcoming regulatory landscape.