The Abu Dhabi Global Markets Financial Services Regulatory Authority has bestowed the official virtual asset status upon Tether’s stablecoin USDT. As per the official statement, this authorization enables licensed financial institutions within ADGM to present their clients with regulated services involving USDT across multiple blockchain networks such as Ethereum, Solana, and Avalanche.
This approval dovetails with the UAE’s strategy to transform into a premier global destination for digital finance, spurring innovation in blockchain technology and cryptocurrency. Abu Dhabi is thus set to construct a secure and efficient conduit between traditional and decentralized financial systems by incorporating USD₮ into the regulated financial framework.
The FSRA contends that the inclusion of USD₮ as an AVA solidifies its standing as the world’s largest stablecoin, with a market capitalization exceeding $138 billion. Moreover, licensed financial service providers in ADGM can now employ USD₮ to offer secure, stable, and compliant financial services, in line with the UAE’s reputation for economic stability, anchored by the dirham-dollar peg.
This progression mirrors the escalating acceptance of cryptocurrencies in the UAE and attests to the region’s dedication to revitalizing its financial ecosystem. Tether’s CEO, Paolo Ardoino, remarked on this landmark achievement, stating, “This approval spotlights the crucial role of stablecoins in modern finance and showcases the UAE’s leadership in digital asset regulation. We are privileged to contribute to the region’s economic expansion and digital metamorphosis.” He further added that Tether is committed to facilitating people’s access to financial services by bridging traditional and decentralized financial systems.
Since 2022, the UAE has ascended to a global forefront in cryptocurrency utilization and blockchain technology development, buoyed by astute regulatory measures. The cities of Abu Dhabi and Dubai have now emerged among the top global hubs for virtual assets and host vibrant blockchain growth communities.
Related Topics:
Bybit Launches Holiday Event with 100k USDT Prize Pool
Tether Mints Over $3 Billion in USDT in 24 Hours
SK Telecom Integrates USDT Stablecoin into T Wallet via Aptos Partnership
