Tether Secures FSRA Approval
In a landmark development for cryptocurrency adoption in the Middle East, Abu Dhabi’s Financial Services Regulatory Authority (FSRA) has approved Tether’s USDT as an accepted virtual asset. The move enhances the adoption of digital currencies in the United Arab Emirates (UAE) and signifies the growing acceptance of stablecoins in global finance.
Key Features of the Approval
This approval, therefore, means that all FSRA-regulated persons and companies in ADGM can now offer their services using USDT. The stablecoin will also be supported on Ethereum, Solana, and Avalanche blockchains to increase its adoption in the region. The ADGM is a regulated financial free zone, and it continues to play a leading role in fostering innovation while adhering to strict regulatory standards.
Compliance Requirements for VASPs
To operate within the ADGM, VASPs must adhere to strict compliance requirements, including AML and CFT regulations. These measures are in place to ensure transparency and security, further bolstering the credibility of virtual asset operations within Abu Dhabi.
Tether’s CEO on the Milestone
Tether’s CEO, Paolo Ardoino, celebrated the development as a step toward financial inclusion and innovation:
This milestone underscores Tether’s commitment to fostering global financial inclusion and innovation. With the integration of USD₮ into the regulated framework of ADGM, we are validating stablecoins’ importance in modern finance and unlocking new opportunities across the Middle East.”
USDT’s Global Dominance
USDT remains the market leader in stablecoins, with its market capitalization above $138 billion. The cryptocurrency has been a cornerstone of the entire crypto ecosystem for seamless transactions within DeFi and payment networks. A recent report from one company showed more than 109 million active wallets holding USDT, while the number of wallets is over 400 million globally.
Regional Expansion and Future Plans
The Middle East is fast growing as one crucial market for Tether. Earlier this year, Tether partnered with RAK Digital Assets Oasis to expand its footprint in the UAE, targeting Ras
