- Stablecoin to operate on UAE-developed ADI blockchain.
- ADI blockchain ensures secure, compliant digital transactions.
A new stablecoin pertaining to the UAE dirham stands ready to transform digital payment processes in the region as Abu Dhabi moves forward with its plans. The three main backers of this initiative are International Holding Company collaboratively with First Abu Dhabi Bank alongside Abu Dhabi sovereign wealth fund. The stablecoin authority comes from the UAE Central Bank approval. It allows First Abu Dhabi Bank (FAB) to create and distribute the stablecoin.
The UAE announced on 28 April 2025 its desire to be a leader in blockchain and fintech innovation. Ultimately, this stablecoin would simplify both local and international transactions. In one way, it would do so by the UAE becoming a global hub for digital finance.
A New Era for Digital Payments
The dirham-backed stablecoin’s functionality will be supported by ADI blockchain technology, which was developed by the ADI Foundation as a pioneer. The goal of this blockchain is to support secure and compliant transactions. These transactions support UAE’s vision of a robust digital economy.
IHC explained that the stablecoin could make payments more efficient. IHC CEO Syed Basar Shueb commented that the project moves into an entirely new frontier for digital currencies.IHC’s knowledge of blockchain and financial technology will serve to open new possibilities for innovation in the UAE, he said.
It is expected that the stablecoin will be able to support everything from everyday consumer payments to business transactions. The ADI Foundation also said that it will also allow for emerging technologies like machine to machine communication and AI applications.
Strengthening UAE’s Digital Infrastructure
The UAE’s stablecoin project has been a key partner in the effort, ADQ underlined the stablecoin’s role in strengthening the UAE’s digital infrastructure. ADQ Managing Director and Group CEO Mohamed Hassan Alsuwaidi said the initiative is in line with the UAE’s goal of creating a more integrated economy. According to him, the stablecoin will offer a secure and convenient means of handling scalable digital transactions.
The UAE’s largest lender FAB plans to issue the stablecoin once it gets regulatory approval. The stablecoin will change how consumers and businesses exchange blockchain payments in the UAE, she stated.
According to Guillaume de La Tour, CEO of the ADI Foundation, the stablecoin is a watershed moment in the UAE’s digital economy. ADI blockchain will allow for the transparent and efficient transaction using homegrown technology, he said.
Digital payment services offered by the project are subject to the regulatory framework of the UAE Central Bank. The Central Bank enforces the Payment Token Services Regulation. It ensures it secures the rules for issuing and managing digital currencies.
The launch of this initiative is part of the UAE’s wider digital asset strategy to speed up the adoption of blockchain in the country. The stablecoin could be a meaningful asset to various industries like finance, commerce and trade, and can be used as a reliable digital currency for different scenarios.
