Tether, the company behind the world’s largest stablecoin, USDT, just scored a major regulatory victory. The Abu Dhabi Global Market’s (ADGM) Financial Services Regulatory Authority (FSRA) has officially recognized USDT as an “Accepted Virtual Asset” (AVA).
What This Means for USDT
This means ADGM businesses can now offer services related to USDT, like trading and storage. Tether’s CEO, Paolo Ardoino, sees this as a huge step forward, saying it validates the importance of stablecoins in modern finance and opens up new opportunities in the Middle East. He also praised the UAE’s forward-thinking approach to regulating digital assets.
A Boost for the UAE’s Fintech Scene
The approval is expected to smoothly integrate USDT into the UAE’s financial system, paving the way for further growth in the region’s fintech sector. Ardoino highlighted Tether’s commitment to bridging traditional and decentralized finance while ensuring security and trust for users. The AVA designation covers USDT across three blockchains, though the specific blockchains aren’t mentioned in the announcement.
