Abu Dhabi has recently recognized the cryptocurrency Tether (USDT) as a “virtual asset.” This decision marks an important step toward the adoption and legalization of cryptocurrencies in the United Arab Emirates. With this move, Tether, one of the most popular stablecoins (cryptocurrencies backed by a fixed value), can now be used as a digital asset within the country.
This action is particularly significant for those looking to use cryptocurrencies for transferring and storing digital assets in Abu Dhabi. As one of the major financial hubs in the Middle East, this decision could help expand the use of cryptocurrencies in the region.
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The government of Abu Dhabi has officially recognized the stablecoin Tether (USDT) as an acceptable virtual asset.
Officials from the Abu Dhabi Global Market (ADGM) have acknowledged Tether (USDT) as an accepted virtual asset (AVA). This recognition allows licensed financial service providers within ADGM to offer services related to USDT and promote its use in regulated financial ecosystems.
The recognition of Tether (USDT) in Abu Dhabi is gradually expanding to other cryptocurrencies on different blockchains, such as Ethereum, Solana, and Avalanche. Ultimately, this aligns with the United Arab Emirates’ goal of becoming the global cryptocurrency capital.
By adding USDT to its frameworks, ADGM can strengthen its position as a financial innovation hub and support the economic diversification of the UAE.