Ripple’s RLUSD Stablecoin Gains Regulatory Approval in Abu Dhabi’s ADGM
- RLUSD has been officially recognised by Abu Dhabi’s FSRA, enabling licensed firms to use the stablecoin for a range of regulated financial activities.
- Launched in late 2024, RLUSD’s circulating supply has now surpassed US$1.2B (AU$1.85B), reflecting strong institutional adoption across the Middle East and Africa.
- Regulatory approval in ADGM, alongside strategic partnerships in the region, further strengthens RLUSD’s role as a compliant settlement and payment asset.
Ripple has achieved a regulatory milestone in Abu Dhabi as its stablecoin RLUSD gains recognition as an Accepted Fiat-Referenced Token under the Abu Dhabi Global Market’s Financial Services Regulatory Authority (FSRA). This approval permits licensed firms to use RLUSD for regulated activities, providing a clear framework for compliant digital asset adoption in the UAE’s international financial centre.
Launched in late 2024 under a New York DFS trust charter, RLUSD now has a circulating supply exceeding US$1.2 billion (AU$1.85 billion). The token is backed 1:1 by high-quality liquid assets, features strict reserve management, segregated assets, third-party attestation, and defined redemption rights, ensuring it meets institutional standards and regulatory requirements.
The ADGM’s recognition allows Ripple to offer RLUSD as a settlement asset for cross-border payments, capital markets, and enterprise financial services without the regulatory uncertainties affecting similar tokens in the US and Europe.
Banks and payment firms in the Middle East have demonstrated faster adoption of tokenised settlement rails, positioning RLUSD as a practical and trusted tool for institutional use.
Related: Securitize Secures EU DLT Authorisation, Cementing Cross-Atlantic Lead in Regulated Tokenisation
Middle East and Africa See Growing Uptake
Ripple’s regional expansion includes strategic partnerships in Bahrain and the onboarding of Absa Bank in Africa as its first custody client. Within the UAE, Zand Bank and Mamo have already incorporated Ripple’s blockchain-enabled payment offerings, reflecting growing adoption of RLUSD across the region.
Industry observers note that ADGM’s regulatory framework is particularly stringent, making RLUSD one of a select group of tokens permitted for use within its ring-fenced financial system. With official recognition in place, RLUSD is expected to accelerate uptake across enterprise clients, supporting regulated financial activities in both the Middle East and Africa.
Related: Ripple Partners With Absa Bank to Launch Digital Asset Custody in South Africa
The post Ripple’s RLUSD Stablecoin Gains Regulatory Approval in Abu Dhabi’s ADGM appeared first on Crypto News Australia.
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