UAE Central Bank Greenlights Dirham-Backed Stablecoin
The stablecoin aims to facilitate transactions, support AI-driven applications, and enable machine-to-machine payments.
The UAE Central Bank (CBUAE) has approved plans for a Dirham-backed stablecoin, to be issued by First Abu Dhabi Bank (FAB) pending final regulatory clearance. Developed in partnership with Abu Dhabi Developmental Holding Company (ADQ), International Holding Company (IHC), and the ADI Foundation, the digital currency will operate on the ADI blockchain – a locally developed infrastructure already deployed in over 20 countries.
The stablecoin aims to facilitate everyday consumer and business transactions, support AI-driven applications, and enable machine-to-machine payments. The ADI Foundation, providing the underlying technology, confirmed the stablecoin will adhere to CBUAE compliance standards. The initiative follows regional peers like Saudi Arabia in adopting blockchain-based financial solutions.
