UAE Heavyweights IHC, ADQ & FAB Launch Dirham-Pegged Stablecoin—Crypto Just Got Safer
Three of Abu Dhabi’s financial titans—International Holding Company (IHC), ADQ, and First Abu Dhabi Bank (FAB)—just dropped a dirham-backed stablecoin, slashing volatility risks for UAE crypto traders.
Why it matters: This isn’t another fly-by-night stablecoin project. With regulators breathing down crypto’s neck globally, a sovereign-currency-pegged digital asset backed by institutional giants gives the UAE a massive compliance edge.
The cynical take: Because what crypto truly needed was more bankers ’disrupting’ the space—but hey, at least they picked a currency that isn’t imploding like certain fiat rivals.
Inside UAE’s Regulated Stablecoin Move With IHC, ADQ, FAB & Mastercard
Key Features of the New Dirham Stablecoin
The regulated stablecoin will serve as a reliable digital currency for consumers, businesses, and various institutions. It also aims to support emerging digital use cases such as machine-to-machine and artificial intelligence applications, which are becoming increasingly important in today’s digital economy.
H.E. Mohamed Hassan Alsuwaidi, Managing Director and Group CEO of ADQ, said:
IHC, ADQ, FAB Partnership Details
The dirham stablecoin will also be issued by FAB, currently the UAE’s largest bank, subject to regulatory approval. The IHC ADQ FAB partnership brings together three powerful entities to help propel the UAE digital currency forward in the coming months.
JUST IN: Abu Dhabi’s ADQ, IHC, and First Abu Dhabi Bank to launch a dirham-backed stablecoin, fully regulated by the UAE Central Bank, to accelerate the nation’s digital asset strategy. pic.twitter.com/f5GKHV7Crm
Syed Basar Shueb, CEO of IHC, was clear about the fact that:
How the Regulated Stablecoin Reduces Crypto Risks
The UAE digital currency addresses key risks in the cryptocurrency space through its regulated nature and institutional backing. The dirham stablecoin will operate on the ADI blockchain, developed by the ADI Foundation, which already has strategic partnerships with governments in over 20 countries around the world.
Hana Al Rostamani, Group Chief Executive of FAB, noted:
Guillaume de La Tour, CEO of ADI Foundation, commented:
The regulated stablecoin represents a key milestone in the Digital Dirham strategy that UAE Central Bank initiated in March 2023. The IHC and ADQ and FAB dirham stablecoin project represents a crucial advancement in UAE cryptocurrency regulations that combats traditional cryptocurrency risks through official rules expected to influence worldwide legislations.
