Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
Tether and Circle — two of the world’s leading issuers of US dollar-linked stablecoins — have received regulatory permissions from Abu Dhabi Global Market (ADGM), marking a significant expansion of the emirate’s regulated digital-asset ecosystem.
USDT, the stablecoin issued by Tether, has been recognised as an Accepted Fiat-Referenced Token (AFRT) within ADGM, a statement said. The designation allows Authorised Persons licensed by the Financial Services Regulatory Authority (FSRA) to conduct regulated activities involving USDT across multiple blockchain networks, including Aptos, Celo, Cosmos, Kaia, Near, Polkadot, Tezos, TON and TRON.
Tether said the approval followed extensive engagement with the FSRA to demonstrate the resilience and compliance-focused nature of its operations.
“The UAE continues to set the global standard for digital asset regulation, and Tether is proud to contribute to this leadership,” said Paolo Ardoino, CEO of Tether. Recognising USDT on multiple blockchains, he added, “strengthens Abu Dhabi’s position as a global hub for compliant digital finance.”
The decision builds on ADGM’s earlier recognition of USDT on Ethereum, Solana and Avalanche, creating what Tether described as a comprehensive multi-chain foundation for its stablecoin within one of the world’s most respected digital-asset jurisdictions.
Circle, issuer of the US-dollar-backed stablecoin USDC, said it has secured a Financial Services Permission (FSP) from the FSRA to operate as a Money Services Provider within ADGM. The licence enables Circle to support regulated payment and settlement use cases for businesses, developers and financial institutions in the UAE.
Jeremy Allaire, Co-Founder and CEO of Circle, said regulatory clarity provides “the foundation of a more open and efficient internet financial system,” and praised ADGM’s framework for setting “a high bar for transparency, risk management and consumer protection.”
ADGM was the first regulator to acknowledge and permit USDC, Allaire noted.
“We’ve had a chance to engage with the regulators here for some time, and it’s a tremendous milestone for us today to be able to go operational and launch,” he told Bloomberg.
He added that the Genius Act in the US establishes a clear set of strict rules around stablecoins. “USDC was designed in line with those new rigorous federal laws, that create a model where these dollar digital currencies really are a safer form of money than even commercial bank money.”
Circle also announced the appointment of Dr Saeeda Jaffar as Managing Director for Circle Middle East & Africa, leading the firm’s regional strategy from Abu Dhabi.
Arvind Ramamurthy, Chief Market Development Officer at ADGM, said Circle’s regulatory-first approach aligns with ADGM’s commitment to responsible innovation. He said the firm’s presence “reinforces our ambition to build a trusted, institutional-grade digital asset ecosystem in Abu Dhabi.”
Circle said the new licence supports its mission to expand the use of trusted digital dollars onchain, while Tether said the recognition of USDT enhances liquidity, interoperability and financial access within the region’s regulated digital-asset framework.
