Tether USDT has been recognized by the Financial Services Regulatory Authority of the Abu Dhabi Global Market (ADGM) as an “Accepted Virtual Asset” (AVA).
This statement covers USDT issued on the Ethereum, Solana, and Avalanche blockchains. The decision furthered the UAE’s leading position in digital asset innovation.
Tether said in an announcement that the approval marked progress for cryptocurrency development in the UAE. The company stated that all licensed, authorised entities under FSRA – can now offer services related to USDT under ADGM’s framework.
Tether bridges traditional and digital economies
This move aligns with the UAE’s strategy to bridge traditional and digital finance. There has been a surge in the adoption of cryptocurrency in the country since 2022. For that development, the economic stability of the UAE, pegged to the U.S. dollar via its dirham, is an important proponent.
Already leading a market capitalization of over US$138 billion, Tether’s USDT will bridge traditional financial systems with digital economies and supplement the already stable financial framework of the UAE for more than 400 million users around the world.
Tether’s CEO Paolo Ardoino spoke of how big a milestone this really is. He said that It has finally been confirmed that this class of stablecoin, with the technology and innovation in their underlying architecture, is being viewed as a critical tool for modern finance. According to Ardoino, UAE sets a global standard regarding the regulation of virtual assets.
The UAE’s forward-thinking approach to virtual asset regulation sets a global benchmark, and we are proud that USD₮ can play a pivotal role in driving economic progress and digital transformation in the region.
The recognition of USDT by ADGM marks a key moment in the history of virtual assets throughout the Middle East. Quite simply, USDT finally meets the regulatory requirements of the ADGM and will integrate smoothly with approved services.
However, this would serve the UAE’s push for financial diversification and modernization as a global hub for innovation in digital assets.
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