#AbuDhabiStablecoin

Abu Dhabi is launching a dirham-backed stablecoin, developed in partnership with three major institutions: ADQ (sovereign wealth fund), International Holding Company (IHC), and First Abu Dhabi Bank (FAB). This digital token will operate on the ADI blockchain, a technology developed domestically by the ADI Foundation, and will be regulated by the UAE's central bank.

Key Features

- *Backed by UAE Dirham*: The stablecoin will be pegged to the UAE dirham, ensuring stability and reliability.

- *Regulated by Central Bank*: The UAE's central bank will oversee the stablecoin, providing an added layer of security and trust.

- *ADI Blockchain*: The stablecoin will utilize the ADI blockchain, designed to support secure, transparent, and efficient transactions.

- *Wide Range of Use Cases*: The stablecoin will support various transactions, including everyday consumer payments, business transactions, machine-to-machine communication, and AI applications ¹ ².

Goals and Implications

- *Strengthening Digital Infrastructure*: The stablecoin aims to enhance the UAE's digital infrastructure, promoting a more integrated and connected economy.

- *Global Fintech Leadership*: Abu Dhabi's initiative reflects the UAE's broader strategy to become a global hub for digital assets and fintech innovation.

- *Challenging US Dollar-Dominated Stablecoins*: The launch of a dirham-backed stablecoin positions Abu Dhabi as a competitor to US dollar-dominated stablecoins, potentially diversifying the stablecoin market ² ¹.