XRP News Today: ADGM's Approval Elevates RLUSD as U.S.-Middle East Bridge

Ripple's RLUSD stablecoin has secured a pivotal regulatory endorsement in the United Arab Emirates, with the Abu Dhabi Global Market (ADGM) designating it as an Accepted Fiat-Referenced Token. The Financial Services Regulatory Authority (FSRA) of ADGM announced the approval, enabling licensed institutions to use RLUSD for regulated activities such as payments and collateral management within the jurisdiction. This marks a significant expansion for Ripple into one of the world's most tightly governed crypto hubs, reinforcing its strategy to position RLUSD as a compliant settlement asset in the Middle East.

RLUSD, launched in late 2024 under a New York DFS trust charter, has grown to a market capitalization exceeding $1.2 billion, driven by institutional demand for a dollar-backed token with transparent reserve rules and redemption rights. Its adoption in core financial applications has been accelerating, with 80% of its supply now deployed on the Ethereum blockchain. The ADGM approval aligns with Ripple's broader efforts to establish a regulatory bridge between U.S. and Middle Eastern markets, leveraging its existing NYDFS compliance to facilitate cross-border dollar settlements.

The approval underscores ADGM's reputation for stringent digital-asset frameworks, a key factor in attracting institutional players like Zand Bank and Mamo in the UAE. Ripple's senior vice president Jack McDonald emphasized that RLUSD's utility in collateral and payments is driving its adoption as a "go-to USD stablecoin for major institutions," a trend analysts say could propel it into the top five stablecoins by market cap.

Regulatory clarity in ADGM also positions RLUSD as a foundational infrastructure asset rather than a speculative token, a distinction critical for enterprise use cases. The stablecoin's 1:1 USD backing, third-party attestations, and reserve segregation meet the high standards demanded by ADGM and other global regulators. This aligns with Ripple's broader vision to integrate RLUSD into its cross-border payment solutions, including Ripple Prime and on-ramps for crypto ecosystems.

The move builds on Ripple's recent expansion across the Middle East, including partnerships in Bahrain and Africa, and follows approvals from Dubai's DFSA earlier in 2025. With ADGM's 2,972 licensed entities, the approval provides a scalable platform for RLUSD adoption, potentially boosting the token's role in capital markets and treasury management.

Analysts highlight that RLUSD's Ethereum-heavy footprint challenges Ripple's narrative of prioritizing its native XRP Ledger (XRPL), yet the stablecoin's institutional traction remains robust. Over 100 million RLUSD has been minted on XRPL in November 2025 alone, reflecting ongoing demand for cross-border settlements.

Ripple's Managing Director for the Middle East, Reece Merrick, noted that the UAE's regulatory leadership positions ADGM as a global benchmark for digital asset innovation. The approval reinforces RLUSD's compliance credentials and paves the way for further regional integration, with Ripple planning to collaborate with partners to expand its digital finance offerings.