Finfluencers in UAE: Follow these rules before promoting financial products

Dubai: In a bid to protect retail investors and bring clarity to the fast-growing world of digital financial content, the UAE recently introduced a dedicated finfluencer licence — the first of its kind in the Middle East.

Social media creators who share investment tips, market predictions, or financial commentary in the UAE are now required to register with the Securities and Commodities Authority (SCA) before they can legally post or speak on such topics.

This move comes amid growing concerns about the influence of social media on investor behaviour — especially among young, first-time investors who often rely on short-form content across platforms like TikTok, YouTube, and Instagram for financial advice.

Here’s what being a finfluencer in the UAE now entails — and the specific regulatory steps to follow before promoting any financial product.

Who is considered a finfluencer in the UAE?

If you're based in the UAE and publicly share opinions or advice on financial investments, assets, or markets — whether through video, audio, written posts, webinars, seminars, or podcasts — you fall under the scope of this new regulation.

This applies to content posted across all digital platforms, including:

• Social media (TikTok, Instagram, X, Facebook, LinkedIn)

• YouTube or podcasts

• Blogs, newsletters, or email campaigns

• Public talks, online courses, or investment webinars

Do you need a licence?

Yes — if your content includes recommendations or opinions about regulated financial products, you must be licensed.

You’re considered a finfluencer under UAE law if you do any of the following:

• Share advice or commentary about buying/selling stocks, crypto, gold, real estate tokens, or any regulated product

• Forecast or analyse the value or performance of an asset

• Post reviews or analysis of investment platforms

• Explain financial products or compare services publicly

• Appear in paid campaigns for financial services or apps

Even if you believe your content is “educational” or “just your opinion,” if it influences financial decisions and reaches the public, you’re required to comply.

UAE finfluencer licence: What it covers

The licence, issued by the SCA, is mandatory for any UAE-based individual who publicly discusses or promotes financial content related to:

• Capital markets

• Crypto assets

• Commodities (like gold and oil)

• Tokenised real estate or other alternative investments

• Any regulated financial services or entities

The good news: SCA has waived registration, renewal, and legal consultation fees for the next three years, making it easier and more affordable for creators to comply.

Compliance checklist

Once registered, licensed finfluencers must adhere to these core rules:

1. Accuracy and clarity:
   Your financial content must be fact-checked and not misleading. Avoid exaggerated claims, especially about returns.

2. Disclosure of partnerships:
   If you’re being paid to promote a product or service, you must clearly disclose the sponsorship. Transparency is non-negotiable.

3. No unlicensed product promotion:
   Do not advertise or comment on unlicensed platforms or products in the UAE, especially if they deal in crypto or derivatives.

4. Avoid guarantees:
   Promising profits or giving “sure-shot” investment tips is prohibited — even if it’s just a social media caption.

5. Use clear language:
   Your audience includes non-experts. Avoid jargon and explain risk factors clearly, especially when promoting complex products.

Why UAE is tightening rules

This move is part of a broader regional push to build trust in digital finance while protecting retail investors from unverified or risky advice.

Across the Gulf, there's been a surge in small-ticket investments in trending products like Bitcoin, gold, and tokenised property. In many cases, these investments are made based on finfluencer content that lacks proper research or disclaimers.

The SCA has highlighted the global risks too. In the UK, 51% of investors who follow finfluencers admit they don’t always check the influencer’s credibility — leading to poor decisions or even scams.

In Germany, recent studies show Gen Z and Millennial investors rely heavily on social media over traditional sources for financial decisions — often unaware of influencers’ sponsored relationships.

Why this matters to UAE-based creators

The UAE wants to encourage financial innovation, not stifle it. That’s why the new rules are light on cost and clear in scope. But with regulation comes responsibility — and a warning that enforcement will be strict.

If you’re an influencer or expert sharing financial content, it’s now your job to be part of a transparent, safe investment ecosystem. Being licensed not only protects your followers — it protects your reputation and reach.