Abu Dhabi Clears Ripple’s RLUSD Stablecoin for Institutions
Abu Dhabi’s Financial Services Regulatory Authority has recognized Ripple USD (RLUSD) as an Accepted Fiat-Referenced Token, authorizing licensed institutions within the Abu Dhabi Global Market (ADGM) to use the dollar-pegged stablecoin, Ripple announced on Thursday.
The approval permits regulated entities operating in ADGM’s international financial center on Al Maryah and Al Reem Islands to use RLUSD for permitted activities, subject to compliance requirements for fiat-referenced tokens, including reserve management and disclosure obligations, according to the regulator’s framework.
Ripple said RLUSD has a market capitalization exceeding $1 billion, with increasing use in applications such as collateral and payments among institutional users.
Ripple’s expansion in the UAE
In October 2024, Ripple stated it was seeking a license from the Dubai Financial Services Authority (DFSA) to broaden its digital asset services in the UAE and received in-principle approval later that month. In March, the company said it obtained full regulatory approval to provide cross-border crypto payment services in the Dubai International Financial Centre (DIFC), a major free zone with an independent regulatory regime.
In June, the DFSA cleared RLUSD for use by firms operating in the DIFC, enabling the stablecoin’s use in regulated activities, including payments and treasury operations.
Launched in late 2024, RLUSD is issued under a limited-purpose trust charter from the New York Department of Financial Services, is pegged 1:1 to the U.S. dollar, and is fully backed by cash and cash equivalents.
UAE central bank oversight extends to DeFi and Web3
Earlier this week, the UAE enacted Federal Decree Law No. 6 of 2025, which brings decentralized finance (DeFi) and much of the Web3 ecosystem under formal supervision by the Central Bank of the UAE. Effective since September 2025, the law requires protocols, platforms, and infrastructure providers involved in payments, lending, custody, exchanges, or investment services to obtain central bank licenses by September 2026.
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