#AbuDhabiStablecoin #AbuDhabiStablecoin

On Monday, April 28, three major heavyweights of Emirati finance officially announced their joint project of a stablecoin backed by the dirham.

The sovereign fund ADQ, the conglomerate IHC, and the First Abu Dhabi Bank, the largest bank in the country in terms of assets, revealed their ambition to revolutionize digital payments in the region.

This new stablecoin will be issued by FAB, subject to regulatory approval from the Central Bank of the United Arab Emirates.

According to Hana Al Rostamani, CEO of the FAB group, this initiative "represents a transformative step and will revolutionize the way consumers and businesses interact with reliable blockchain payments in the United Arab Emirates."

The technology will be based on the ADI blockchain, developed by the ADI Foundation, which has already established partnerships with more than 20 governments to expand its compliant network.

The target applications go beyond simple payments and will include everyday consumer transactions to processes based on artificial intelligence.

This initiative is part of a broader approach by the United Arab Emirates to establish itself as a global cryptocurrency hub.

The country has rapidly advanced in its digital currency strategy, with the launch of the "Digital Dirham" initiative in March 2023 and the implementation of specific regulations for stablecoins.

This is not the country's first foray into this field. In fact, last December, AE Coin became the first regulated digital currency approved in the United Arab Emirates.

According to Vugar Usi Zade, COO of Bitget, "this initiative, backed by the Central Bank of the United Arab Emirates, could strengthen confidence in digital assets across the MENA region, especially for retail and institutional users."