#AbuDhabiStablecoin Abu Dhabi is making significant strides in the stablecoin landscape. The Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM) has established a comprehensive regulatory framework for fiat-referenced tokens (FRTs), a type of stablecoin. This framework, introduced in late 2024, focuses on ensuring financial stability and investor protection through measures concerning reserve assets, governance, transparent disclosure, and redemption rights.

Adding to this development, major Abu Dhabi institutions, including First Abu Dhabi Bank (FAB), Abu Dhabi Developmental Holding Company (ADQ), and International Holding Company (IHC), recently announced their collaboration to launch a dirham-backed stablecoin. This stablecoin, pending regulatory approval from the UAE Central Bank, will operate on the ADI blockchain and aims to modernize transactions for consumers, businesses, and institutions both domestically and internationally, including for AI and machine-to-machine payments. This initiative underscores Abu Dhabi's ambition to become a leading hub for fintech and blockchain innovation.