#AbuDhabiStablecoin Focus on Fiat-Referenced Tokens (FRTs): The ADGM's regulatory focus is on FRTs, defined as digital assets that:

* Serve as a medium of exchange.

* Maintain a stable value by referencing a fixed amount of a single fiat currency.

* Allow holders to redeem the token for its fiat value from the issuer upon demand.

* Prohibition of Algorithmic Stablecoins: Recognizing the inherent instability, the FSRA prohibits algorithmic stablecoins within the ADGM.

* Reserve Requirements: Issuers of FRTs must maintain full reserve backing in the same fiat currency they purport to be tokenizing. These reserves must be held in:

* Cash as "Relevant Money."

* "Reserve Investments" comprising