USDT is now approved as accepted virtual asset in Abu Dhabi

Tether announced that the Abu Dhabi Financial Services Regulatory Authority has approved the company’s US dollar-pegged stablecoin as an accepted virtual asset.

According to the announcement made on December 10, Tether (USDT) is now available to authorized individuals and organizations regulated on the Abu Dhabi Global Market. FSRA is a market regulator in Abu Dhabi under the Abu Dhabi Global Market. FSRA is a market regulator affiliated with ADGM, which operates as a financial free zone in the United Arab Emirates.

USDT’s approval is part of FSRA’s mandate to regulate virtual asset service providers in the country. VASPs are required to comply with anti-money laundering and counter-terrorism financing regulations.

In its announcement, Tether stated that the approval allows FSRA licensed individuals and organizations to provide USDT-supported services in the region. The agency approves such services in advance. With this acceptance, users within ADGM can use USDT on Ethereum, Solana and Avalanche.

Paolo Ardoino, CEO of Tether, said:

“This milestone underscores Tether’s commitment to driving global financial inclusion and innovation. “By bringing USD₮ to the forefront of ADGM’s regulated virtual asset framework, we are not only confirming the importance of stablecoins as critical tools for modern finance, but also opening new doors for collaboration and growth in the Middle East.”

USDT is the world’s largest US dollar-pegged stablecoin with a market capitalization of over $138 billion. Its adoption in the payments market and crypto space has allowed Tether to dominate other stablecoins, contributing to its record-breaking revenue figures.

Tether also announced in a report published on December 9 that on-chain wallets with USDT exceeded 109 million at the beginning of the fourth quarter of 2024. Meanwhile, the total number of wallets receiving USDT so far has exceeded 400 million.

Elsewhere, the Middle East and North Africa region is becoming an increasingly important market.

In May this year, Tether announced its expansion into the UAE through a partnership with web3-focused platform RAK Digital Assets Oasis. The collaboration aimed to promote the technology adoption of Bitcoin (BTC) and stablecoins in Ras Al Khaimah, the UAE’s sixth largest city.

In August, Tether announced plans for a stablecoin pegged to the dirham.