Best Crypto Cards in Kuwait (2026)

Kuwait's crypto regulatory framework is among the most restrictive globally. On July 17, 2023, four regulatory authorities simultaneously issued circulars creating an "absolute prohibition" on all virtual currency activities. The Central Bank of Kuwait (CBK, Bank al-Kuwait al-Markazi, بنك الكويت المركزي) issued Circular No. 2/RB, RBA/442/2023 to all local banks, financing companies, and exchange companies. The Capital Markets Authority (CMA, Hay'at Aswaq al-Mal, هيئة أسواق المال), the Insurance Regulatory Unit (IRU), and the Ministry of Commerce and Industry (Wizarat at-Tijara wa-s-Sina'a, وزارة التجارة والصناعة) all followed with parallel directives.

The prohibitions are comprehensive: virtual assets cannot be used as payment, cannot be offered as investment products, and mining is completely banned. The mining ban was prompted by concerns over electricity grid strain, as Kuwait provides subsidized electricity. Over 60 individuals have been investigated by the Public Prosecution for illegal mining operations, with more suspects expected. Financial institutions are prohibited from facilitating any crypto-related transactions, processing crypto payments, or providing accounts for crypto businesses.

Kuwait's ban is among the strictest in the world, comparable to China's. Unlike neighboring GCC states (UAE, Bahrain, Oman) that have moved toward licensing frameworks, Kuwait has shown no legislative intent to create a VASP licensing regime. The CBK is developing a CBDC (digital dinar) as the preferred path for digital currency innovation.

Kuwait does not levy personal income tax on individuals, making it one of the most tax-efficient jurisdictions globally. Since there is no personal income tax, individual capital gains from any source, including cryptocurrency, are untaxed for natural persons. There is no capital gains tax, no income tax on individuals, and no withholding tax on personal transactions. This means that for Kuwaiti nationals with offshore crypto holdings, any gains realized through card spending would attract zero personal tax.

Corporate income tax applies only to foreign entities operating in Kuwait at a flat rate of 15%. Kuwaiti-owned businesses are subject to Zakat (2.5%) and the National Labour Support Tax (NLST, 2.5%) plus the Kuwait Foundation for the Advancement of Sciences contribution (1%). There is currently no VAT in Kuwait, although GCC-wide VAT implementation has been under discussion.

Example: If a Kuwaiti national held BTC worth KWD 500 offshore and it appreciated to KWD 1,500, spending KWD 1,500 via an offshore crypto card would result in KWD 0 in personal tax on the KWD 1,000 gain. However, the transaction itself would violate Kuwait's crypto prohibition if conducted domestically.

All funding methods are equally tax-efficient for Kuwaiti individuals. The critical issue is not taxation but legality. Offshore crypto holdings and card usage while traveling may occupy a legal gray zone. Kuwaiti nationals resident abroad should follow the tax rules of their country of residence.

Kuwaiti crypto card applications would require the al-Bitaqa al-Madaniyya (Civil ID Card, البطاقة المدنية), issued by the Public Authority for Civil Information (PACI, al-Hay'a al-'Amma li-l-Ma'lumat al-Madaniyya, الهيئة العامة للمعلومات المدنية). The Civil ID is mandatory for all Kuwaiti citizens and residents, containing a 12-digit civil number, biometric data, and digital signature capability.

Alternative identification: Kuwaiti passport (Jawaz as-Safar al-Kuwaiti, جواز السفر الكويتي, issued by the General Department of Citizenship and Passports). Proof of address via utility bills from the Ministry of Electricity, Water and Renewable Energy (MEW), or bank statements from NBK, KFH, or Boubyan Bank. Kuwait's Sahel government app provides some digital identity services.

Most offshore crypto card issuers should accept Kuwaiti passports for KYC. Kuwaiti passports have strong international recognition and GCC residents generally have high approval rates with international financial services. However, issuers aware of Kuwait's ban may restrict onboarding for Kuwait-resident applicants.

The World's Strongest Currency

Kuwait's dinar at approx. 1 KWD = $3.25 is the world's highest-valued currency unit. This is both an advantage and a consideration for crypto card users: dollar-denominated cards effectively cost less per unit of local purchasing power, but FX conversion from KWD to USD carries spreads that vary by provider. The KWD is pegged to a basket of currencies (dominated by the USD), providing relative stability compared to fully floating currencies.

Card Selection for Kuwaitis Abroad

• KAST (2% cashback, free): Best no-fee starter with GLOBAL coverage and minimal KYC
• RedotPay (3% on Solana, free virtual): Best for stablecoin spending
• MetaMask (1%, free): Best self-custody option
• Crypto.com (up to 5%): Best for those who already hold CRO

Spending Scenario: KWD 300/month (approx. $975, Kuwaiti Professional Abroad)

KWD 72/year (approx. $234) in pure, tax-free cashback at the 2% KAST tier. The absence of personal income tax means every unit of cashback is retained in full, similar to UAE, Oman, and Bahrain.

Local Payment Infrastructure

Kuwait has one of the GCC's most developed digital payment ecosystems. KNET (al-Khadamat al-Mashrutaka li-l-Masrafiyya al-Elektroniyya, الخدمات المشتركة للمصرفية الإلكترونية) processes approx. 80% of online transactions via cards issued by its 11 member banks. WAMD (وامض), Kuwait's real-time payment scheme powered by KNET, launched in June 2024 and surpassed 1 million accounts within its first year, onboarding 30% of the banked population in just three months. WAMD enables instant account-to-account transfers via mobile apps using phone numbers.

Card acceptance is excellent across Kuwait: malls (The Avenues, 360 Mall, Al Kout Mall, Marina Mall), hotels (Four Seasons Kuwait, JW Marriott, Jumeirah Messilah Beach), supermarkets (The Sultan Center, Lulu Hypermarket, Carrefour), and restaurants in Salmiya, Kuwait City, and Hawally. Apple Pay, Google Pay, and Samsung Pay are all available through major Kuwaiti banks. Mobile wallets include Zain Cash, STC Pay, and bank-specific apps from NBK, KFH, and Boubyan Bank. The digital wallets market is valued at approx. $1.2 billion.

The Diaspora Angle

Kuwait has a large expatriate population (approx. 3.3 million non-nationals out of 4.9 million total population). Many of these expatriates come from countries with active crypto markets (India, Egypt, Philippines, Pakistan) and may use crypto cards for cross-border remittances and spending, making Kuwait's crypto card ecosystem relevant despite the domestic ban.

Global issuers: Crypto.com (up to 5%), KAST (2%), Wirex (up to 8%), and RedotPay list global coverage. MetaMask (1%) offers self-custody spending. Practical access from within Kuwait is restricted by the ban and banks blocking crypto-related transactions.

Who operates: No crypto exchange operates legally in Kuwait. Binance P2P is accessible to some users despite the ban, offering KWD pairs through informal channels. Rain Financial (Bahrain-based, licensed by the CBB) has historically served GCC users but may restrict Kuwait-based clients. OKX and Bybit are accessible through VPNs but carry legal risk for Kuwait residents.

Local landscape: No domestic crypto exchanges exist and none can be licensed under the current prohibition. P2P trading through Binance P2P, WhatsApp groups, and informal OTC networks handles most volume. Kuwaiti banks (NBK, KFH, Boubyan, Gulf Bank, Burgan Bank) are explicitly prohibited from facilitating crypto transactions, processing deposits to exchanges, or providing accounts for crypto businesses. Some banks actively flag and block transactions to known crypto platforms.

ether.fi (3%, credit-based) offers a borrow-to-spend model via staking yield, but requires offshore crypto holdings and strong KYC documentation that may not be available to Kuwait-based residents.

Kuwait's absolute prohibition on crypto activities makes it the most restrictive market in the GCC, contrasting sharply with the UAE's comprehensive licensing (VARA), Bahrain's sandbox approach (CBB), and Oman's emerging VASP framework (CMA). The CBK's CBDC development suggests Kuwait prefers state-controlled digital currency over decentralized alternatives. Until legislative change occurs, crypto cards remain relevant only for Kuwait's diaspora and those with offshore financial relationships.