Abu Dhabi regulator clears Ripple’s RLUSD for trading

Ripple’s dollar-backed stablecoin product RLUSD is now formally recognized as an Accepted Fiat-Referenced Token by Abu Dhabi’s Financial Services Regulatory Authority (FSRA), as confirmed by a company press statement published on Thursday.

FSRA’s accepted token designation for RLUSD will allow merchants to use the digital currency within the Abu Dhabi Global Market (ADGM) in the capital of the United Arab Emirates. Authorized Persons licensed by the regulator can now accept and issue payments through Ripple’s stablecoin, provided they meet the Fiat-Referenced token trading requirements.

According to industry data, the UAE saw a 55% increase in stablecoin transactions in 2024, and Ripple will use RLUSD’s compliance to compete with Tether (USDT) and Circle (USDC) in the Arab economic region.

Ripple adds to stablecoin reach in the UAE market with RLUSD compliance

According to Ripple’s press statement announcing the recognition, the FSRA’s endorsement of its dollar-backed digital asset will boost its volumes and activity while subsequently expanding the UAE’s $400 billion international trade market.

“Regulatory compliance and trust are two non-negotiables when it comes to institutional finance. Growing adoption in core financial uses like collateral and payments is why RLUSD is quickly becoming a go-to USD stablecoin for major institutions,” Senior Vice President of Stablecoins at Ripple, Jack McDonald, denoted.

The recognition from Abu Dhabi follows RLUSD’s greenlight by the Dubai Financial Services Authority for use within the Dubai International Financial Centre in June. 

Reece Merrick, Ripple’s Managing Director for the Middle East and Africa, called the UAE a trendsetter in digital asset policy while reiterating the importance of RLUSD’s regulatory alignment with the jurisdiction’s law.

Arvind Ramamurthy, Chief Market Development Officer at ADGM, said Abu Dhabi’s regulatory environment supports innovation, and that the emirate is committed to “shaping the next generation of global financial services.”

Ripple said the FSRA’s decision will ease RLUSD’s integration into enterprise-focused use cases, including its cross-border payment products, and support capital markets functionality provided through Ripple Prime. 

The company’s stablecoin is issued under a Limited Purpose Trust Company Charter from the New York Department of Financial Services, and it has grown to a market capitalization exceeding $1.2 billion since launching in late 2024.

Ripple stretches footprint in Asia, the Gulf and Africa

Ripple has been on an acquisition and expansion spree over the past year, announcing several strategic partnerships and regional market entries. In Bahrain, the company collaborated with the Kingdom’s financial incubator, Bahrain Fintech Bay, to test several of its products to be launched in the coming months.

Bahrain’s partnership came on the backdrop of signed memorandas with Zand Bank and Mamo, the first institutions in the UAE to adopt Ripple’s blockchain-based payments offering.

Away from the Arabic economy, the firm tapped its first African custody client, Absa Bank, to bridge RLUSD into the South African financial markets, Cryptopolitan reported. 

In Japan, Ripple could start distributing RLUSD through SBI VC Trade as early as the first quarter of 2026. 

“The introduction of RLUSD will not just expand the option of stablecoins in the Japanese market, but is a major step forward in the reliability and convenience of stablecoins in the Japanese market,” said SBI VC Trade CEO Tomohiko Kondo during a press event.

Singapore-regulated digital asset service provider MetaComp began distributing RLUSD to institutional customers across Asia-Pacific in August, listed on its foreign exchange and cross-border settlement platform StableX.

In an interview with CNBC’s “Crypto World” at the Ripple Swell 2025 conference in New York, CEO Brad Garlinghouse said the company intends to broaden its offerings for more institutions.

 “I want to see Ripple invest in the future and get ahead of where that market’s going…The assets we have been buying have been on the traditional finance side, so we can bring crypto-enabled solutions to that traditional financial world,” Garlinhouse surmised.

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