UAE's central bank has approved a USD-backed stablecoin
The UAE Central Bank approved the country's first USD-backed stablecoin, USDU, under its new payment token regulation.Summary
The Central Bank of the United Arab Emirates (CBUAE) has approved the nation's inaugural USD-backed stablecoin, USDU, operating under the bank’s Payment Token Services Regulation (PTSR). The USDU token is issued and managed by Universal Digital, a firm regulated by the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM). Reserves backing USDU are held 1:1 in safeguarded onshore accounts at Universal’s banking partners: Emirates NBD, Mashreq, and Mbank. This regulatory approval positions the UAE ahead of regions like the U.S. and EU by launching a USD stablecoin within a central bank payments regime. Universal executives stated that this provides necessary clarity and confidence for institutions, setting a new benchmark for regulated digital value and fostering a more transparent digital-asset market.
(Source：CoinDesk)