#AbuDhabiStablecoin

Abu Dhabi is making significant strides in the stablecoin space. The Financial Services Regulatory Authority (FSRA) of the Abu Dhabi Global Market (ADGM) has established a regulatory framework specifically for fiat-referenced tokens (FRTs), a type of stablecoin pegged to fiat currencies. This framework, introduced in December 2024, focuses on stability, transparency, and investor protection, setting guidelines for reserve assets, governance, and disclosure.

In a more recent development, major Abu Dhabi entities, including IHC, ADQ, and First Abu Dhabi Bank (FAB), announced on April 28, 2025, their plans to launch a dirham-backed stablecoin fully regulated by the UAE Central Bank. This initiative, utilizing the ADI blockchain, aims to modernize transactions for consumers, businesses, and institutions, potentially impacting finance, trade, and digital industries across the region.