Three Abu Dhabi Giants Plan Stablecoin Backed by UAE’s Currency
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Abu Dhabi's IHC, ADQ and FAB to launch dirham-backed stablecoin
Abu Dhabi entities IHC, ADQ and First Abu Dhabi Bank plan to launch a dirham-backed stablecoin, which will be fully regulated by the UAE Central Bank, aimed at easing payment solutions.
The stablecoin will operate on the ADI blockchain and will be issued by FAB, the UAE’s largest bank, subject to regulatory approval, a joint statement on Monday said.
This digital currency “will revolutionise the ease of making payments and doing business, both locally and globally”, the companies said.
It will be used as a “reliable digital currency” by consumers, businesses and institutions and also support emerging digital use cases such as machine-to-machine and artificial intelligence, they said.
“The launch of the stablecoin marks a pivotal step in our commitment to strengthening the UAE’s digital infrastructure ecosystem,” Mohamed Alsuwaidi, managing director and group chief executive of Abu Dhabi wealth fund ADQ,