Key Takeaways:
- FAB, IHC, and ADQ announced the launch of a Dirham-backed stablecoin, pending regulatory approval by the Central Bank of the UAE.
- The stablecoin will operate on the ADI blockchain to support secure, scalable, and compliant digital payments across local and global markets.
- The new digital currency aims to facilitate everyday transactions, cross-border trade, machine-to-machine payments, and AI-driven financial applications.
- The stablecoin is set to play a strategic role in strengthening the UAE’s digital economy and driving fintech innovation, according to leaders from FAB, IHC, ADQ, and the ADI Foundation.
International Holding Company (IHC), ADQ, and First Abu Dhabi Bank (FAB) have unveiled plans to introduce a new stablecoin backed by the UAE Dirham.
Subject to approval by the Central Bank of the UAE (CBUAE), the digital currency will be issued by FAB and is designed to support a wide range of uses, from everyday payments to advanced applications powered by artificial intelligence.
Local and Global Transactions at the Core of the New stablecoin
According to ADQ, the Dirham-backed stablecoin aims to streamline payments for citizens, businesses, and institutions, supporting both domestic and international transactions. It will also be used in emerging digital applications such as machine-to-machine transactions and AI-driven payments.
ADI Blockchain to Power Secure and Scalable Payments
The stablecoin will operate on the ADI blockchain, a platform developed by the UAE-based ADI Foundation. The blockchain network connects traditional financial systems with blockchain technology, providing a compliant and scalable infrastructure for digital payments
It is worth noting that the ADI Foundation currently maintains strategic partnerships with governments in more than 20 countries.
Leaders Highlight the Stablecoin’s Role in Advancing the UAE’s Digital Future
H.E. Mohamed Hassan Alsuwaidi, Managing Director and Group CEO of ADQ, said:
“The launch of stablecoin marks a pivotal step in our commitment to strengthening the UAE’s digital infrastructure ecosystem. As we move forward towards an increasingly digital and connected economy, stablecoin will provide a solution that is secure, efficient and scalable, while creating new opportunities for growth and value creation.”
Syed Basar Shueb, CEO of IHC, noted:
“This new stablecoin represents a major breakthrough in the development of digital currencies, and we are proud to have played a key role in its creation.By bringing IHC’s expertise in blockchain and fintech, we look forward to working with our partners to explore its vast potential and drive innovation in the UAE.”
Hana Al Rostamani, Group CEO of FAB, affirmed:
“FAB is proud to play our part as a founding member of this ground-breaking development, which will put the UAE at the forefront of global innovation and enable even more growth in our thriving fintech sector.”
Guillaume de La Tour, CEO of ADI Foundation, added:
“By leveraging the ADI blockchain, we are enabling secure, transparent, and efficient transactions at scale — built on technology developed right here in the UAE.”
Summing up
The introduction of the stablecoin is expected to impact finance, trade, and commerce, aligning with the UAE’s broader strategy to expand its digital economy and strengthen its position as a center for financial technology innovation.
