Can you Trade Crypto in Saudi Arabia?
Have you ever wondered whether you can buy crypto in Saudi Arabia with Visa cards? The pace of Cryptocurrency adoption has increased across the globe today. While most citizens of different countries interact daily using Cryptocurrency today, it is yet to be legalized in all the countries. There are even a few countries that have even proscribed Cryptocurrency trading. The case is quite different for Saudi Arabia which has proved more Crypto-friendly than other countries in the United Arab Emirates. This work has therefore provided useful insights towards understanding the status of Cryptocurrency trading in Saudi Arabia today.
What is Cryptocurrency trading?
Cryptocurrency trading is the modern-day business of buying and selling various digital assets built on a Blockchain such as Bitcoin, Ethereum, Cardano, etc.
Can one trade cryptocurrency in Saudi Arabia today?
Saudi Arabia has become one of the well-known crypto-friendly countries in the United Arab Emirates today. Even though Cryptocurrencies have not been considered a legal tender in this country, yet there is no law proscribing crypto trading in Saudi Arabia today. Bitcoin for instance is recognized as a digital asset in Saudi Arabia and there are no prohibitions on individuals from buying crypto in Saudi with Visa cards. However, the banks are not permitted to deal with cryptocurrency themselves in Saudi Arabia today.
In 2019, the Saudi Arabian Monetary Authority (SAMA) and the United Arab Emirates Central Bank (UAECB) launched a digital currency called “Aber” which would be used for cross-border payments among the two countries and to be pegged with their respective country’s fiat currencies. This helped the awareness and use of Cryptocurrency in Saudi Arabia today.
Is crypto trading prohibited in Saudi Arabia?
There is no law prohibiting one from trading Cryptocurrency in Saudi Arabia today. Its crypto-friendly attitude has all the more increased the pace of cryptocurrency adoption within the country. The pace of cryptocurrency adoption has increased more among the citizens than in any other country in the United Arab Emirates today.
Advantages of trading crypto in Saudi Arabia
- Offers a means for Diversifying Portfolios: Crypto investments provides investors an opportunity to spread their portfolios across many digital assets.
- Cheap method for international payment: Cryptocurrency makes it possible for traders to pay for goods and services across borders with very little charges compared to the bank’s charges for international transfers.
- Fast means of payment: Payments via cryptocurrency are usually very fast and completed within a few minutes across the same network. This is very different from the banking system which requires some days for international payments to arrive.
- Provides a decentralized means of payment: Crypto trading allows the individual to send and receive money across the globe without revealing the identity of the sender.
Disadvantages of trading crypto in Saudi Arabia
- Involves risk: Crypto trading bears risk to the investor’s capital. Traders can lose their funds in cases of extreme market volatility.
- Not regulated: Cryptocurrency is not fully regulated in Saudi Arabia today. This increases the danger the trader is exposed to while trading.
- Prone to attacks: Some crypto exchanges have been attacked in the past leading to loss of exchange funds.
How can one trade crypto in Saudi Arabia
To trade crypto in Saudi Arabia today the trader will need to create an account with any of the brokers operating in this region. We have provided the list of the best ten crypto exchanges operating in Saudi Arabia today.
List of exchanges to trade Crypto in Saudi Arabia