Six Takeaways from TOKEN2049 Dubai

AI x Web3 Take Center Stage in Dubai -– Abdul Al Ali, Venture Investor at Decasonic 

TOKEN 2049 Dubai confirmed one thing: Dubai remains a steady supporter and hub of the world’s innovation in Web3 and AI. My conversations with founders, builders, and policymakers circled a single theme, relentless execution speed enabled by a forward-thinking regulatory framework for emerging technologies (Web3 and AI). Further, one additional signal stood out: the surge in AI x Web3 projects and companies, and the accelerating pace at which teams are integrating AI into their roadmaps. Increasingly, AI-first is now a baseline expectation. 

I grew up calling the UAE a second home, living and working in Dubai and Abu Dhabi every summer. Dubai itself seems to reinvent-and-expand every few months. It is astonishingly fast-growing and fast changing. With each visit, more buildings pop up and the community of residence seemingly continues to grow in size. Dubai’s community diversity now includes a growing group of AI x Web3 founders who call Dubai their residence of choice. The enthusiasm for the UAE’s progressive regulatory regime, and for their AI-powered integration continues to be a main theme and central driving force for founders calling Dubai their home. 

Below are my six key takeaways from Token2049:

1. AI-First Is a Must

AI is no longer an optional expectation, with a clear, defined AI-first strategy being a must. Traditional Web2 companies are already adopting AI-first strategies that emphasize capital efficiency and full-stack integration, Shopify led the movement, and Duolingo’s Founder reiterated the need for an AI-First strategy this week. Across Web3 companies and traditional Web3 sectors - DeFi, DePIN, GameFi, and SocialFi, each founder, project, and team highlight their AI integration and leveraging of an AI-strategy for their project. Both Web2 and Web3, somewhat bind to the emerging intersectional capabilities that AI invites, especially in crypto’s 24/7, hyper-competitive market amid looming macro uncertainties. AI amplifies founders’ capacity to execute at speed, provides enhanced personalization opportunities for users and audiences, and is key for a capital-efficient company strategy.

At Decasonic, we welcome the mainstream adoption of an AI-first strategy for Web3 companies. We further believe that there is virtually no better way to learn how to be AI-First than to set a baseline expectation for usage from each member of the company. This enhances usage and future expectations for AI-usage in the company. 

There remains a significant difference between adoption and AI-First strategy and being an AI x Web3 company. The latter emphasizes core AI capabilities and offerings aimed for users and audiences, with the former emphasizing back-end integration of AI and internal usage. This distinction will continue to be important as the wider AI x Web3 market continues to grow and onboard new founders. 

2. Governmental Tailwinds Drive AI x Web Leadership

From Dubai’s Virtual Assets Regulatory Authority (VARA) to Abu Dhabi’s Hub71, UAE policymakers move fast and define the regulatory environment for emerging technologies. Few countries have done as much for Web3 and AI in MENA as the UAE, whose clear, founder-friendly rules continue to attract emerging-tech builders. The nation recently became the first to use AI to draft legislation. Usage of AI and its integration is a key signal to founders, and through their active deployment of AI, the UAE is encouraging ambitious founders in emerging technologies (Web3 and AI) to come to Dubai and build their ambitions, turning them into reality. Further, several emirates launched AI-agent operating licenses, key being RAK (enabled through RAK DAO), and fresh acceleration grants for AI builders. In a world of regulatory ambiguity, the UAE offers clarity plus durable capital: a combination to attract the most ambitious, hungry builders and founders. 

3. RWA and AI Take Center Stage

You could not attend an event without hearing about real-world assets (RWA) or AI. Panels highlighted tokenizing property developments, construction receivables, and large-scale infrastructure development for RWA adoption across the seven emirates. There seemingly is no better time to be an investor in RWA than now, and the growth in RWA is seen as a key signal for onboarding institutional, durable traditional finance capital and family offices. Interest spans beyond Dubai to include the wider GCC, with founders eyeing the Saudi Arabia, Bahrain, and Qatar markets. DIFC-anchored banks and global asset managers are piloting and encouraging RWA platforms, turning Dubai into a sandbox for asset tokenization and RWA adoption.

A similar message is seen with AI, whether it’s through an active approach to implementing an AI-First internal strategy, or companies aiming to expand the AI x Web3 market. 

4. Venture Capital Expand into AI x Web3 - Our Generational Opportunity

A new cohort of thesis-driven, dual-structure liquid funds is emerging. Earlier “generalist” funds pursued major L1s with a broad tier-based allocation model, anchoring on risk-hedging and heavy positions in $BTC, $ETH, and $SOL. 

Today’s vehicles slice opportunity by fully-diluted valuation, sector depth, and real-time on-chain adoption metrics, deploying capital across both a liquid-token sleeve and a venture sleeve to compound optionality without sacrificing liquidity. Aligned with our AI x Web3 consumer thesis, some of these funds prioritize projects and liquid opportunities that demonstrate provable network-effect flywheels and a credible path to category leadership in the AI x Web3 Market. Because access to traditional AI equities remains gated for many non-US investors, liquid on-chain AI primitives offer the cleanest exposure. Here, fundamentals outlast narratives, with adoption metrics and projects that capture the end user providing pathways to durability and market category leadership. The growing participation of traditional financial institutions and family offices, reinforces a shift toward durable-capital frameworks built on disciplined deal structuring and sustainable network effects. Liquid tokens are no longer merely a hedge; they are the mechanism through which investors can define or back market category leaders. 

5. AI Applications & Interfaces Lead the “Valuable” Adoption

The infra wave isn’t over, but mindshare is shifting toward end-user experiences. OpenAI’s billion - user milestone underscores how owning the end-user experience, and having a product-first strategy wins audiences. Projects at the AI x Web3 intersection are increasingly focused on co-ownership of AI outputs, monetization, and collaborative AI experiences, leveraging key crypto infrastructure. Ultimately, AI founders view blockchain and tokens as providing avenues for distribution, adoption, and network effects. Tokens offer ownership opportunities, enabling alignment between a project’s team, users, and token owners. 

The future of the AI x Web3 intersection will continue to expand, but for now - we are closely noting a shift in founder energy towards the rollout of applications and interfaces that aim to capture the end-user, and utilize core crypto characteristics to gain audiences and mindshare. 

6. Dubai Steadies a Beacon Amid Global Uncertainty

While we at Decasonic remain bullish on U.S. crypto adoption and pro-regulatory environment, founders worry about policy whiplash tied to election cycles. There still seems to be uncertainty regarding the future of the pro-regulatory framework the US has been actively implementing in recent weeks and months. Contrast this to the UAE, which continues to provide continuity: multi-decade economic blueprints, tech-friendly free zones, and leadership that actively courts innovation. This leads to AI x Web3 companies building in Dubai, including Mira Network. While Web2 AI innovators such as QX Lab AI, DataRobot MENA, and G42 are driving enterprise AI adoption across the region, its Web3-native projects like Mira that are defining the next generation of AI x Web3 innovation. 

Where Does AI x Web3 Go From Here?

TOKEN 2049 has firmly established itself as a leading hub for AI x Web3 innovation, powered by the UAE’s commitment to fast-track adoption at the crossroads of emerging technologies. Builder momentum is unmistakable, sustained by the long-term vision, regulatory clarity, and capital support the Emirates provide.

At Decasonic, we partner with founders driving this intersection forward. We partner with teams and founders to define market category leaders. If you’re building at the frontier of AI x Web3, reach out, let’s help transform your vision into reality.

The content of this material is strictly for informational and educational purposes only. It is not intended to constitute investment advice, nor should it be considered a recommendation or a solicitation to buy, sell, or hold any asset. Decasonic does not endorse investments in any specific tokens, and nothing in these blog posts should be construed as legal, tax, or financial advice. Please consult with a qualified professional advisor before making any financial decisions. Decasonic provides no warranties, whether expressed or implied, on the content provided in these blog posts, including its accuracy, completeness, or correctness. The opinions expressed here are those of the authors and do not necessarily reflect the views of Decasonic. Please note that Decasonic may hold a position in some of the tokens mentioned, including Virtuals. Decasonic is not liable for any errors or omissions in the content of this material or for any actions taken based on the information provided herein.