Exploring the Metaverse: Financial Wellness, Regulation and the Future of Gaming 

By Sandra Mottoh, Chief Compliance Officer, Responsible Gaming MENA.

The year 2025 is set to be a big one for the Metaverse. What started as a futuristic idea is now growing at an incredible pace, with global expansion expected at 37% annually until 2030. But it’s not about the numbers. It is about how the Metaverse changes how we game, shop, interact, and do business online. 

In the UAE, I see an excellent opportunity for banks, payment providers, and other key players to step in and participate in this transformation. Those who get involved early while staying on the right side of regulation will have the best chance of success. In this article, we will explore how the UAE can embrace this digital shift while keeping innovation and compliance in perfect balance. 

The Metaverse: A New Era of Digital Commerce and Culture

At first, many viewed the Metaverse as a new way to play games, but it’s become a virtual economy today. Experts predict it will contribute around $200 billion to the global economy by 2026, largely thanks to NFTs and virtual goods. 

This is an incredible opportunity for the UAE, as the country has always been at the forefront of digital change. I am excited to see what is coming next with the Metaverse. Dubai’s Metaverse Strategy is already setting things in motion, with a target to create over 42,000 virtual jobs and add $4 billion to the economy by 2030. 

What makes the Metaverse so powerful is that, in many ways, it is similar to the real world regarding commerce. You can buy, sell, and trade assets, even virtual real estate. This opens the door for banks and payment providers to come in with specialised products that allow for seamless transactions. 

I am particularly curious about how the rich culture of the UAE could come to life in the Metaverse. Imagine regional arts, heritage, and other local creations that people can own and trade. With the right financial support in place, this could be a game-changer for both culture and commerce in the Metaverse. 

Financial Wellness in the Metaverse: Balancing Culture and Commerce 

Indeed, the Metaverse offers exciting economic opportunities but comes with financial risks. Younger players who aren’t very familiar with virtual assets are the most vulnerable. I came across a study by the National Gaming Foundation that revealed nearly 50% of young gamers carry out virtual transactions without fully understanding the risks. As a result, they end up overspending and, sometimes, fall victim to fraud. This is where I see a real chance for banks and payment service providers to make a meaningful impact. 

The banks and payment service providers have the resources to promote financial wellness within the Metaverse. One great approach is introducing educational tools directly into gaming platforms, giving younger players the knowledge they need to make smart financial choices. 

I commend the UAE for its efforts to improve financial wellness. For example, the UAE Financial Literacy Strategy, which aims to improve citizens’ financial knowledge, is already in motion. Programs like MoneySense, introduced in 2017, have also been helping residents become more financially savvy. 

Banks can build on these efforts by offering tools for managing digital currency, setting up spending alerts, and providing virtual budgeting features. These solutions would help users track their virtual assets and encourage responsible spending habits — both in the Metaverse and in real life. 

Regulation: Vital to a Safe Metaverse Ecosystem

Like anything else, the Metaverse needs clear rules and regulations to ensure a safe and secure digital environment. This is particularly important in the UAE, where commercial gaming is still developing. While the country already has a solid framework for fintech and digital payments, more needs to be done to address the Metaverse’s uniqueness.

The UAE will need to adapt its digital regulations to align with the virtual economy. One core focus is for the virtual assets to follow the same level of scrutiny as traditional financial systems. In other words, banks and payment service providers must enforce strict anti-money laundering (AML) and know-your-customer (KYC) practices. That will help keep things transparent and prevent fraud.

Looking into data from the Financial Action Task Force (FATF), I found that global money laundering risks linked to cryptocurrencies and virtual assets are on the rise. This highlights how crucial regulatory compliance is in the Metaverse. If the UAE wants to lead in this space while protecting businesses and consumers, it must take a proactive approach to building a well-regulated virtual economy.

The Future of Metaverse Gaming: Collaborating for Financial Innovation

As we look ahead, the UAE must stay open-minded about the Metaverse. I say so because the virtual economy will only expand, and when it does, service providers will find themselves engaging local and international players. It presents a massive opportunity that banks and financial institutions cannot afford to overlook.

The big question is: How can UAE-based banks keep up with global demand? My answer is collaboration. They will need to work closely with regulators, developers, and operators as the Metaverse grows. Everyone must do their part to keep the virtual economy secure and compliant to build a solid metaverse that benefits everyone.