#AbuDhabiStablecoin Abu Dhabi's financial institutions are making significant strides in the digital asset space with a new dirham-backed stablecoin project. Here's what's happening ¹ ²:

- *Partnership Details*: ADQ (Abu Dhabi's sovereign wealth fund), International Holding Company (IHC), and First Abu Dhabi Bank (FAB) have joined forces to launch a dirham-pegged stablecoin, pending regulatory approval from the UAE Central Bank.

- *Stablecoin Features*:

- *Backing*: Fully backed by the UAE dirham, ensuring stability and trust

- *Blockchain*: Will operate on the ADI blockchain, developed by the ADI Foundation

- *Use Cases*: Supports everyday transactions, machine-to-machine payments, and AI-driven processes

- *Goals*:

- *Digital Infrastructure*: Strengthen the UAE's digital economy and position it as a global hub for blockchain innovation

- *Financial Opportunities*: Provide new opportunities for businesses and individuals, enhancing cross-border trade and remittances

- *Regulatory Oversight*: The UAE Central Bank will regulate the stablecoin, ensuring compliance and stability

- *Potential Impact*: Analysts predict the stablecoin could revolutionize digital payments, increase financial inclusion, and drive fintech innovation in the region

This development is part of the UAE's broader strategy to advance its digital economy and fintech sector, following previous initiatives such as ¹ ³:

- *AE Coin*: The UAE's first official stablecoin, launched in December

- *MGX Investment*: A $2 billion investment in Binance, showcasing Abu Dhabi's commitment to digital assets