XRP News Today: UAE's ADGM Elevates RLUSD as Crypto Infrastructure Hub Gains Momentum

Ripple's dollar-backed stablecoin, RLUSD, has secured a significant regulatory endorsement in the United Arab Emirates, marking a pivotal expansion for the digital asset. On November 27, the Abu Dhabi Global Market's Financial Services Regulatory Authority (FSRA) recognized RLUSD as an "Accepted Fiat-Referenced Token", enabling its use in regulated activities within the ADGM financial zone. This designation allows licensed institutions to deploy RLUSD as collateral on exchanges, for lending, and within prime brokerage platforms, provided they meet compliance obligations tied to reserve management and disclosure. The approval positions RLUSD as one of a small group of tokens permitted in ADGM's tightly governed framework, which has emerged as a hub for institutional-grade digital-asset innovation.

RLUSD, launched in late 2024 under a New York DFS trust charter, has grown to a market capitalization exceeding $1.26 billion, according to DefiLlama data. The stablecoin's adoption has been driven by institutional demand for a dollar-pegged token with transparent reserve rules and redemption rights. Its recent approval in Abu Dhabi aligns with Ripple's broader strategy to position RLUSD as a settlement asset in cross-border payments and capital markets, particularly in jurisdictions where regulatory clarity accelerates adoption. The move follows similar approvals in Dubai, where the DFSA permitted RLUSD for use in the Dubai International Financial Centre (DIFC) earlier this year.

The ADGM designation underscores the UAE's growing role as a global crypto infrastructure provider. Financial institutions in the region, including Zand Bank and Absa, have already integrated Ripple's blockchain-based payment solutions, leveraging the country's progressive regulatory environment. For Ripple, the approval in Abu Dhabi offers access to a market that treats stablecoins as foundational infrastructure rather than speculative assets. Jack McDonald, Ripple's senior vice president of stablecoins, emphasized the milestone in a statement, calling it a testament to the company's "commitment to regulatory compliance and trust".

RLUSD's inclusion in ADGM's framework could catalyze further integration into settlement and lending flows, particularly as Abu Dhabi's financial ecosystem expands its focus on tokenized assets. The stablecoin's surge in market capitalization-driven by institutional minting and on-chain growth across Ethereum and the XRP Ledger-highlights its appeal to firms seeking stable, regulated settlement options.

Ripple's expansion into the Middle East aligns with a broader trend of regional financial hubs positioning themselves as crypto-friendly jurisdictions. The UAE's regulatory approach, which balances innovation with oversight, has attracted firms like Animoca Brands and WeRide, which have also secured approvals for Web3 and autonomous vehicle operations in the region. For Ripple, the ADGM endorsement reinforces RLUSD's potential to become a top-five global stablecoin, with its current market cap of $1.26 billion indicating strong momentum.

As the stablecoin gains traction in regulated markets, its role in cross-border payments and institutional finance could expand further, particularly in regions where traditional stablecoins face regulatory hurdles.