The Abu Dhabi Global Market has officially recognized Tether's USD₮ stablecoin as a accepted virtual asset, allowing licensed companies to provide pre-approved USD₮ services. This development follows approval from the Financial Services Regulatory Authority, although specific details on the approved services have not been disclosed.
With a market capitalization exceeding $138 billion, Tether aims to further expand its growth. According to Paolo Ardoino, Tether's CEO, this move validates the significance of stablecoins in modern finance and opens up new opportunities for collaboration and growth in the Middle East.
The United Arab Emirates has established itself as a major crypto hub, with Abu Dhabi initiating crypto regulations for exchanges and custodians as early as 2018. Other stablecoin issuers, such as Circle, are also entering the Middle Eastern market, with Circle incorporating a company in the ADGM.