Abu Dhabi: IHC, ADQ, FAB launch dirham-backed stablecoin

Three of the UAE’s leading institutions – International Holding Company (IHC), ADQ, and First Abu Dhabi Bank (FAB) – have announced the launch of a new stablecoin backed by the UAE dirham, in a move that positions the country at the forefront of global blockchain innovation.

The stablecoin, subject to regulatory approval, will be issued by FAB and fully regulated by the Central Bank of the UAE (CBUAE).

The digital currency is expected to transform everyday payments and business transactions across both domestic and international markets.

Advancing UAE’s digital economy with the new stablecoin

The launch is seen as a strategic step in advancing the UAE’s digital infrastructure and fintech ecosystem, with the stablecoin operating on the ADI blockchain – a homegrown platform developed by the ADI Foundation.

The blockchain aims to provide a compliant network for secure and scalable blockchain-based payments.

Mohamed Hassan Alsuwaidi, MD and group CEO of ADQ, said the stablecoin represents a key milestone in the UAE’s digital development. “As we move forward towards an increasingly digital and connected economy, the stablecoin will provide a solution that is secure, efficient and scalable, while creating new opportunities for growth and value creation,” he said.

The stablecoin is intended for use across a wide range of applications, from individual consumer payments to advanced digital use cases such as AI and machine-to-machine transactions.

Key step towards the development of digital currencies

Syed Basar Shueb, CEO of IHC, called the project “a major breakthrough in the development of digital currencies”. He added, “By bringing IHC’s expertise in blockchain and fintech, we look forward to working with our partners to explore its vast potential and drive innovation in the UAE.”

Today, IHC, alongside @Adq_Official and First Abu Dhabi Bank @FABConnects, announced plans to launch a new Dirham-backed stablecoin, which will be fully regulated by the Central Bank of the UAE and issued by FAB.

The new #stablecoin will transform payments and business… pic.twitter.com/gWnVjX0LoC

— IHC (@ihc__official) April 28, 2025

Hana Al Rostamani, group CEO of FAB, said: “As a founding partner of this leading technology, FAB is proud to be at the forefront of global innovation, driving continued growth within the UAE’s dynamic fintech sector.

“This new stablecoin represents a transformative step forward and will revolutionise the way both consumers and businesses engage with trusted blockchain payments in the UAE.”

The ADI Foundation, which has strategic partnerships in over 20 countries, said its blockchain technology connects traditional financial systems with next-generation digital platforms. Guillaume de La Tour, CEO of the foundation, said: “This stablecoin marks a pivotal milestone in the UAE’s journey toward a more inclusive and digitally empowered economy.”

The initiative is expected to have wide-ranging implications across finance, commerce, and trade, supporting the UAE’s long-term goal of becoming a global hub for innovation, financial technology, and digital transformation.

Read: IHC reports net profit of Dhs25.7bn in 2024