✅ Breaking news :-
Abu Dhabi is advancing its position in the digital finance sector with the development of a dirham-pegged stablecoin. A consortium comprising the Abu Dhabi Investment Group (ADQ), First Abu Dhabi Bank (FAB), and International Holding Company (IHC) has announced plans to launch this stablecoin, pending regulatory approval. The initiative aims to integrate the UAE dirham into the global cryptocurrency ecosystem, facilitating seamless digital transactions and enhancing the UAE's status as a crypto hub . (Abu Dhabi institutional giants team up ..., Tether to launch stablecoin pegged to UAE's dirham)
Concurrently, Abu Dhabi's Financial Services Regulatory Authority (FSRA) has proposed a regulatory framework for Fiat-Referenced Tokens (FRTs), a category of stablecoins. The framework mandates that FRT issuers maintain reserve assets equal to the value of the tokens in circulation and ensure daily mark-to-market valuations. This regulatory approach aims to provide a secure environment for the issuance and use of stablecoins within the Abu Dhabi Global Market (ADGM) . (Abu Dhabi proposes framework for fiat-referenced tokens, Abu Dhabi's Regulatory Framework for Fiat-Referenced Tokens)
These developments underscore Abu Dhabi's commitment to fostering innovation in digital finance while ensuring regulatory oversight to maintain financial stability.
