Tether, a leading stablecoin issuer, has announced that its USDT stablecoin has been recognized as an Accepted Fiat-Referenced Token (AFRT) within the Abu Dhabi Global Market (ADGM) on several major blockchain networks, including Aptos, Celo, Cosmos, Kaia, Near, Polkadot, Tezos, TON, and Tron. This significant development allows firms licensed by the ADGM’s Financial Services Regulatory Authority (FSRA) to conduct regulated activities involving USDT, further expanding the stablecoin’s regulated footprint in the region.
The designation is a result of Tether’s ongoing engagement with the FSRA to demonstrate the resilience, transparency, and compliance of its operations. This latest approval builds upon earlier recognition of USDT on Ethereum, Solana, and Avalanche, thereby broadening the regulatory coverage of the stablecoin across a wider range of blockchain networks and cementing its position as a leading player in the digital asset space.
Expanding USDT’s Regulated Reach
The move is seen as a major milestone for Tether, as it creates a multi-chain framework that enables ADGM-licensed firms to support multiple networks while operating within a well-established regulatory jurisdiction. With this decision, USDT is now recognized in ADGM on nearly all major blockchains supported by the issuer, increasing interoperability and allowing USDT to be used as a settlement asset for trading and decentralized applications, all while meeting the stringent AFRT requirements set by the FSRA.
According to Tether, the multi-chain approval will facilitate greater collaboration and growth throughout the Middle East, a region that is rapidly emerging as a hub for digital finance and innovation. By extending recognition to USDT on several major blockchains, ADGM further strengthens Abu Dhabi’s position as a global leader in compliant digital finance, providing a secure and regulated environment for businesses to operate and thrive.
Following the development, Tether CEO Paolo Ardoino commented
“The UAE continues to set the global standard for digital asset regulation, and Tether is proud to contribute to this leadership. This milestone highlights Tether’s dedication to advancing financial inclusion and innovation on a global scale. Introducing USDT within ADGM’s regulated digital asset framework reinforces the role of stablecoins as essential components of today’s financial landscape. It also creates fresh opportunities for collaboration and growth throughout the Middle East. By extending recognition to USDT on several major blockchains, ADGM further strengthens Abu Dhabi’s position as a global hub for compliant digital finance.”
In recent months, Tether has been actively expanding its presence in the digital asset space, including a strategic investment in Ledn, a Bitcoin-focused lending platform that provides credit secured by BTC. The investment aligns with Tether’s goal of supporting real-world credit markets and broadening access to both retail and institutional borrowers, further demonstrating the company’s commitment to driving innovation and growth in the industry.
Circle’s UAE Expansion Plans
Meanwhile, rival stablecoin issuer Circle is also strengthening its foothold in the UAE, having recently secured a Financial Services Permission license from the FSRA of Abu Dhabi Global Market. The license will enable Circle to operate as a Money Services Provider within the international financial center, providing a range of services including digital payments and asset management.
As part of its expansion plans, Circle has appointed Dr. Saeeda Jaffar as Managing Director for the Middle East and Africa. Dr. Jaffar, who joins from Visa where she served as Senior Vice President and Group Country Manager for the Gulf Cooperation Council, will oversee the company’s regional operations and lead efforts to advance partnerships with financial institutions and enterprises. Her focus will include supporting the adoption of digital dollars and on-chain payment solutions across the UAE and wider MEA markets, driving growth and innovation in the region.
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