Revolutionizing the Stablecoin Industry: Tether’s Approval in Abu Dhabi
Recently, Tether’s USDT stablecoin received approval as an Accepted Virtual Asset (AVA) by the Abu Dhabi Global Market (ADGM), marking a significant milestone in the world of digital finance.
Key Highlights:
- Approval granted by the Financial Services Regulatory Authority (FSRA)
- Licensed entities within ADGM jurisdiction can now offer services involving USDT
- USDT integration into ADGM’s financial services ecosystem
This approval not only showcases the growing importance of stablecoins in modern finance but also demonstrates Tether’s role in bridging traditional and decentralized economies. Tether CEO Paolo Ardoino emphasized the significance of this achievement and praised the UAE’s progressive regulatory stance.
USDT’s Market Dominance and Expansion Plans
As the largest stablecoin by market cap, Tether’s USDT controls approximately 70% of the market with a supply exceeding $138 billion. In line with its commitment to supporting the UAE’s vision as a global economic hub, Tether announced plans to launch a Dirham-pegged stablecoin.
ADGM’s Collaboration for Token Disclosure Standards
Simultaneously, the ADGM is collaborating with Polygon Labs to establish global token disclosure standards for the web3 ecosystem. This initiative aims to enhance DLT Foundations Regulations and support the issuance of tokens for DAOs.
Key Points:
- Enhancing transparency and trust in blockchain technologies
- Aligning with ADGM’s mission to solidify Abu Dhabi’s position as a blockchain and web3 innovation hub
Hamad Al Mazrouei, CEO of the ADGM Registration Authority, emphasized the importance of the token disclosure process in promoting transparency. Similarly, Sandeep Nailwal, co-founder of Polygon, highlighted the establishment of new benchmarks for trust and transparency in blockchain systems.
