Ripple Receives Approval for US Dollar-Backed Stablecoin in Dubai

Ripple has received regulatory approval to introduce its US dollar-backed stablecoin, RLUSD, into the Dubai International Financial Centre (DIFC). The approval came from the Dubai Financial Services Authority (DFSA), which oversees activities within the special economic zone. This development marks a new phase in Ripple’s strategy to expand its digital asset infrastructure across the Middle East. The DFSA’s green light allows RLUSD to operate as a payment rail within Ripple’s existing DFSA-licensed digital asset platform.

This integration could open the door for over 7,000 companies operating in the DIFC to use the stablecoin for cross-border transactions, digital asset settlements, and related services. Ripple has previously established a footprint in the region, having secured regulatory approval to serve clients in the United Arab Emirates’ cross-border payments market.

Ripple’s move into the DIFC follows a broader trend of increased institutional interest in digital assets across the Gulf region. The company has observed rising demand for crypto-enabled payment and custody solutions. The RLUSD approval is seen as a step toward enabling this demand through licensed, regulated infrastructure. Jack McDonald, Ripple’s Senior Vice President for stablecoins, said that the DFSA’s decision aligns with the company’s focus on supporting regulated financial innovation in Dubai.

To build out its local ecosystem, Ripple is actively working with various regional entities. It has formed partnerships with Zand, a digital bank, and Mamo, a fintech company. These organizations are expected to be among the early adopters of Ripple’s payment tools powered by RLUSD. Furthermore, Ripple is engaging with Ctrl Alt, a digital infrastructure firm, and the Dubai Land Department in an initiative to tokenize real estate deeds on the XRP Ledger, aimed at creating digitized property ownership frameworks backed by blockchain.

Launched in December 2024, RLUSD is fully backed by US dollar reserves and was initially approved by the New York Department of Financial Services. The stablecoin began trading on platforms such as Uphold and has since expanded to other exchanges. The integration of RLUSD into Dubai’s financial landscape could present Ripple with new use cases beyond its original remittance-focused model. The DIFC has positioned itself as a forward-looking regulatory hub for fintech and digital assets, providing a controlled environment for blockchain-based innovation.

With this approval, Ripple joins other companies leveraging the region’s legal clarity to offer services tied to digital currencies. As stablecoins gain traction globally for settlement and treasury use, regulated regional integrations such as this could help Ripple compete in a rapidly evolving financial infrastructure landscape.