- USDC’s issuer, Circle, has secured an FSP license from the ADGM to expand its operations and products in the UAE.
- The company has chosen a former top executive at Visa to lead its advance in the MENA region.
Circle Internet Group proudly announced today its acquisition of a licence to operate in one of the world’s crypto hotspots, Abu Dhabi. According to the company, it now holds a Financial Services Permission (FSP) license from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM).
The issuer of USDC, the world’s second-largest stablecoin by market cap, has tapped Dr. Saeeda Jaffar, a former Senior Vice President and Group Country Manager for the Gulf Cooperation Council (GCC) at Visa, to lead its advance across the United Arab Emirates (UAE) and the broader Middle East and North Africa (MENA) markets.
Leveraging ADGM’s Regulatory Clarity
Jeremy Allaire, co-founder and CEO of Circle, stated that the UAE shines as a beacon for big players in the blockchain and crypto industry due to its regulatory clarity. He highlighted that it provides a solid “foundation of a more open and efficient internet financial system.”
Additionally, Allaire emphasized that FSRA’s framework complements Circle’s high standards for transparency, risk management, and consumer protection. Along the way, he introduced Jaffar as the company’s new Managing Director for Circle Middle East & Africa (MEA).
Meanwhile, Arvind Ramamurthy, Chief Market Development Officer, ADGM, echoed Allaire’s sentiment. He claimed that Circle’s regulatory-first approach aligns with ADGM’s mandate of ensuring the flow of responsible innovation in the UAE.
Moreover, Ramamurthy noted that the UAE’s clear rules for fiat-referenced tokens, or stablecoins, under the ADGM enable their safe and scalable adoption. He believes Circle’s regulated presence boosts market sentiment in Abu Dhabi, cementing the UAE’s status as a hub for regulatory-compliant digital assets.
What Circle’s New License Means
Circle explained that its FSP license will allow it to expand its regulated payment and settlement use cases for institutions in the UAE. In line with Ramamurthy’s remarks, the company noted that its goal aligns with the UAE’s mission to establish itself as an open, transparent, and innovation-driven financial ecosystem.
Furthermore, the move will let the company issue its US dollar-pegged stablecoin, USDC, in the UAE. The stable asset currently has a market cap of $78.29 billion. It’s the second-largest stablecoin in the world by overall valuation, next to Tether’s USDT stablecoin’s $185.7 billion market cap.
Likewise, it will allow the distribution and use of its euro-pegged stablecoin, the EURC, in the Middle Eastern country. The digital asset has a market cap of $343.68 million.
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