A Shariah-compliant, dollar-linked stablecoin called PUSD has launched on a new blockchain, ADI Chain, based in the Middle East. PUSD is backed by reserves in Saudi riyals and UAE dirhams, adhering to Islamic finance principles that prohibit interest and require asset backing. It aims to serve institutions by providing a compliant digital settlement tool. PUSD already operates on major blockchains and now joins ADI Chain, a settlement layer for a dirham-backed token. ADI Chain was established through a partnership between major Abu Dhabi financial entities. Institutions can now settle transactions within ADI Chain using either dollar-linked or dirham-denominated tokens. The ADI Foundation intends the network to support payment corridors across the Gulf, Middle East, and parts of Africa. The Islamic finance market, valued at over $3 trillion, has seen blockchain-based alternatives emerge. The UAE has become a key regulatory environment for stablecoins, offering frameworks for both dirham and dollar-pegged tokens. PUSD competes with established players like Tether and Circle for institutional transaction flow within this active financial hub.

Abu Dhabi's sovereign wealth fund ADQ, First Abu Dhabi Bank, and the International Holding Company have partnered to launch a dirham-pegged stablecoin, pending regulatory approval. The stablecoin will be regulated by the UAE's central bank and backed by the country's currency, the dirham. The goal is to place the UAE at the forefront of global blockchain innovation and strengthen the digital infrastructure. The stablecoin will operate on the ADI blockchain, created by the ADI Foundation, a nonprofit organization. ADQ is a sovereign wealth fund focused on critical infrastructure and global supply chains, while IHC is one of the UAE's largest investment firms and conglomerates. FAB is the largest bank in the UAE, formed in 2017 through a merger between First Gulf Bank and National Bank of Abu Dhabi. The market cap of US dollar-denominated stablecoins has crossed $230 billion, with Tether and USDC dominating 90% of the market. Other countries, including Russia, have also announced plans to launch stablecoins backed by currencies other than the US dollar. However, a Citigroup report predicts that the stablecoin supply will remain US dollar-denominated, with non-US countries promoting national or central bank digital currency. The UAE's stablecoin launch is part of a broader trend of countries challenging US dollar stablecoins.

The project, which is awaiting regulatory approval from the UAE Central Bank, includes three large Emirati entities as founding partners.

Forty-one million dollars. That is roughly how much money had already moved through a dirham-backed digital currency most shoppers in the UAE had never heard of, let alone used at a register. On September 9, that changed. DDSC stablecoin payments landed at the checkout counter of two of the country's best-known retail chains, and for the first time, ordinary customers could pay for groceries or a shirt with it instead of a card.

CBUAE approves DDSC, a UAE dirham-backed stablecoin, to operate on ADI Chain, enabling regulated, institutional-grade digital payments and treasury operations.

The Central Bank of the UAE approves the UAE dirham-backed DDSC to go live on ADI Chain, enabling regulated institutional use in payments and treasury.

The UAE dirham-backed stablecoin DDSC has received Central Bank approval to go live, enabling institutional payments, settlements, and programmable finance on the ADI Foundation chain.

Crypto.com and Sirius International Holding partner to accelerate UAE blockchain innovation through ADI Chain, enabling regulated tokenization, a Dirham-backed stablecoin, and expanded Crypto Pay and institutional access.

A group of Abu Dhabi-based institutions on Monday announced plans to launch a stablecoin, pegged to the United Arab Emirates Dirham (AED). The group comprises Abu Dhabi's ADQ sovereign wealth fund, the First Abu Dhabi Bank (FAB), and investment firm International Holding Company (IHC). The stablecoin will be regulated by the Central Bank of the United Arab Emirates (CBUAE). The group aims to introduce stablecoins into UAE's payment ecosystems. Key Details About the Stablecoin ADQ announced that the upcoming stablecoin will be promoted as a digital currency that can be used by citizens, consumers, businesses, and institutions.

A group of Abu Dhabi-based institutions on Monday announced plans to launch a stablecoin, pegged to the United Arab Emirates Dirham (AED). The group comprises Abu Dhabi's ADQ sovereign wealth fund, the First Abu Dhabi Bank (FAB), and investment firm International Holding Company (IHC). The stablecoin will be regulated by the Central Bank of the United Arab Emirates (CBUAE). The group aims to introduce stablecoins into UAE's payment ecosystems. Key Details About the Stablecoin ADQ announced that the upcoming stablecoin will be promoted as a digital currency that can be used by citizens, consumers, businesses, and institutions.