Circle Secures UAE Approval for Stablecoin Services

Circle, a prominent global financial technology company and leading issuer of stablecoins, has secured in-principle approval from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM). This authorization brings Circle one step closer to establishing itself as a money services provider operating in the United Arab Emirates. The approval allows Circle to deploy its stablecoin services across the UAE, marking a significant milestone in the company's expansion strategy.

In December 2024, Circle established a new legal entity within ADGM, demonstrating its ambition to strengthen its presence in both the Middle East and African markets. This strategic initiative is part of Circle's broader goal to expand its operations and increase its foothold in these regions. The new approval from ADGM enables Circle to carry out its stablecoin service deployment, further solidifying its position in the digital finance landscape.

This approval is a testament to ADGM’s forward-thinking regulatory policies, which aim to foster innovation in the digital finance sector. Circle is now focused on obtaining its Financial Services Permission (FSP) from the authorities to advance its operations. A full operating authorization will enable the company to execute its activities more effectively in the region, helping Circle move ahead in its mission to deliver compliant digital finance solutions that are secure worldwide.

Jeremy Allaire, co-founder and CEO of Circle, highlighted the UAE's leadership in responsible digital financial innovation. He stated that the new approval allows Circle to establish its operations in markets that are integrating on-chain financial systems. Circle is dedicated to creating worldwide trust and standards for utilizing stablecoins, and uncensored regulation plays a vital role in establishing digital finance systems without serving as an inhibiting element.

ADGM’s administrative officials have also expressed positive support for Circle’s entry into the market. Arvind Ramamurthy, Chief of Market Development at ADGM, affirmed that Circle’s presence supports the district’s digital finance center objectives. He noted that Circle brings worldwide trust and a firm dedication to supporting strict regulatory frameworks, making it a key player in fostering innovative financial services across the UAE.

Dante Disparte, Circle’s Chief Strategy Officer, shared his thoughts on the authorization, describing it as both a global indicator and a regional achievement. He emphasized that the UAE demonstrates to the world that regulation and innovation do not need to be opponents, as they can blend effectively together. Stablecoin growth requires worldwide protection through clearly defined laws, according to his assessment.

In addition to its regulatory approval, Circle has recently established a partnership with the Abu Dhabi-based tech ecosystem Hub71. This strategic move aims to boost innovation development within the digital assets sector. The partnership will lead to the development of programs such as hackathons, workshops, and mentorship initiatives for startup founders. Circle plans to join Hub71’s Digital Assets ecosystem, which consists of more than 500 tech startups and investors, to pave the way for new financial technology development in Abu Dhabi.

Ahmad Ali Alwan, the head of Hub71, expressed his approval for this partnership. He noted that the initiative demonstrates the objective of becoming a fintech and Web3 leadership center in Abu Dhabi. Circle functions as the backbone to assist founders in building their business concepts while spreading digital finance use throughout the area.

Circle continues to establish itself through strategic moves across international markets. The company recently initiated its initial public offering under U.S. regulations, with plans to launch its stock trading on the New York Stock Exchange under the ticker symbol “CRCL” if the IPO receives approval. This move is part of Circle's broader international expansion strategy, which includes significant growth in the United Arab Emirates. The company aims to lead the future of digital payments and stablecoins through strong partnerships and regulatory backing.