Tether’s USDT stablecoin has been authorised as an Accepted Digital Asset (AVA) by the Abu Dhabi World Market (ADGM), in keeping with a Dec. 10 assertion.
The landmark determination, granted by the Monetary Providers Regulatory Authority (FSRA), permits licensed entities inside the jurisdiction to supply providers involving USDT beneath ADGM’s regulatory framework.
The approval marks a major milestone for Tether, enabling the seamless integration of USDT into ADGM’s authorised monetary providers ecosystem. Tether CEO Paolo Ardoino emphasised that this achievement highlights the rising significance of stablecoins in trendy finance and reinforces the corporate’s position in bridging conventional and decentralized economies.
Ardoino added that the UAE’s progressive regulatory stance units a world benchmark, positioning USDT as a key software in advancing the area’s digital transformation and financial progress.
In August, Tether introduced plans to launch a Dirham-pegged stablecoin, underlining its dedication to supporting the UAE’s imaginative and prescient as a world financial hub.
Tether’s USDT is the biggest stablecoin by market cap, controlling round 70% of the market with a provide of greater than $138 billion.
Token disclosure requirements
In the meantime, the ADGM can also be collaborating with Polygon Labs to ascertain a world token disclosure course of for the web3 ecosystem.
This initiative goals to boost the Distributed Ledger Expertise (DLT) Foundations Rules, launched in 2023, to streamline token issuance and assist Decentralized Autonomous Organizations (DAOs).
Hamad Al Mazrouei, CEO of the ADGM Registration Authority, said that the token disclosure course of is designed to advertise transparency and strengthen belief in blockchain applied sciences.
He added that the partnership with Polygon Labs aligns with ADGM’s mission to solidify Abu Dhabi’s standing as a number one blockchain and web3 innovation hub.
Equally, Sandeep Nailwal, Polygon’s co-founder, said:
“We’re not solely establishing new benchmarks for transparency and disclosure but additionally making a basis for belief that enables customers, builders, and establishments worldwide to interact with blockchain methods confidently.”