Stablecoin issuer Circle has received regulatory approval to operate as a financial services provider in the Abu Dhabi International Financial Centre, deepening its presence in the UAE.
In an announcement on Tuesday, Circle Internet Group said it has received a financial services license from the Financial Services Regulatory Authority of Abu Dhabi Global Market (ADGM), the international financial hub of Abu Dhabi. This allows the stablecoin issuer to act as a money services provider in IFC.
Issuer USDC (USDC) also appointed Syeda Jafar as its Managing Director for Circle Middle East and Africa. The new executive also serves as Senior Vice President of the Gulf Operations Council and Group Country Manager at Visa and will be tasked with developing the stablecoin issuer’s regional strategy and partnerships.
Circle co-founder, chairman and CEO Jeremy Allaire said the relevant regulatory framework “sets a high bar for transparency, risk management, and consumer protection,” adding that these standards are needed if “credible stablecoins” are going to support payments and financing.
Related: Abu Dhabi Investment Council triples stake in bitcoin ETF in Q3: report
Abu Dhabi awards wave of licences
The ADGM has recently awarded a wave of crypto companies licenses for financial operations. Earlier this week, Tether’s USDT (USDT)—the largest stablecoin by circulation and Circle’s top competitor—achieved a regulatory milestone in the international financial center of Abu Dhabi, as did Ripple’s dollar-pegged stablecoin Ripple in late November.
On Monday, crypto exchange Binance was granted three separate licenses from Abu Dhabi’s financial regulator, allowing it to operate its exchange, clearinghouse and broker-dealer services. This was followed by its competitor Bible, which received regulatory approval in the UAE in early October.
Related: HSBC to bring tokenized deposits to US and UAE as stablecoin race heats up
UAE bets on crypto
The UAE Central Bank is actively reviewing its cryptocurrency regulations. In November, it introduced rules for decentralized finance (DEFI) and the wider Web 3 industry.
The newly introduced Federal Decree Law No. 6 of 2025 brings DeFi platforms, related services and infrastructure providers under the scope of the regulations if they enable payment, exchange, lending, custody, or investment services, which now require a license. “DeFi projects can’t escape regulation by claiming they’re just code,” said local crypto attorney Irina Heuer.
Haver told Cointelegraph at the end of 2024, the year the country shed its status as a global crypto hub.
In October 2024, the UAE exempted cryptocurrency transfers and exchanges from value-added tax, just one month after Dubai’s digital asset regulator announced stricter rules on cryptomarketing. During the same time, local free economic zone Ras Al Khaimah Digital Asset Oasis was also working to introduce a legal framework for decentralized autonomous organizations.
Local regulators weren’t shy about enforcing the rules, with Dubai’s Virtual Assets Regulatory Authority cracking down on seven unlicensed crypto businesses, issuing fines and halting closure orders.
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