More than a decade after the world started trying to figure out digital cash created via blockchain tech, cryptocurrencies have become mainstream and are here to stay. The rise of virtual coins which aren't regulated by any central banking authority, and are almost impossible to counterfeit, has also triggered varying reactions from regimes in the Middle East.

Turkey moved to ban the crypto coins altogether citing risks posed by fluctuating rates, while UAE opened up to them by allowing payment for licenses via Bitcoin. As the country collaborates with neighbouring Saudi Arabia to launch virtual money called Aber, the regional tech oasis Dubai has already unveiled its own cryptocurrency.

Created using the Arab world's very own blockchain Arabian Chain, DubaiCoin is designed to replace traditional bank-issued cash in the local economy. The digital currency will allow users to make online payments, and will also facilitate transactions at brick and mortar stores in the city.

This will be the first time a country will test its own crypto coins, after a failed attempt by Venezuela to mine economic recovery through its digital currency Petro. Although DubaiCoin is currently worth less than a dollar, the rising smart city is confident about its growth backed by the emirate's strong economy.

DubaiCoin will be controlled by the city's authorities as well as brokers authorised by them, and is part of a push for the Emirati regime to integrate blockchain tech into at least 50% of its transactions. The city has also provided space for a special crypto centre where companies developing blockchain tech and trading platforms for crypto assets will be empowered with technology and support for growth.

Dubai's Cypto Valley has been nurturing startups in the sector with co-working spaces and training programmes for development of blockchains.

The Emirates has also joined China in its bid to speed up cross border transactions, through digital currencies including the e-yuan.