Circle Wins Abu Dhabi License as UAE Speeds Up Crypto Rules

Stablecoin issuer Circle has secured regulatory approval to operate as a financial service provider in the Abu Dhabi International Financial Center, deepening its push into the United Arab Emirates.

In an announcement Tuesday, Circle Internet Group said it received a Financial Services Permission license from the Financial Services Regulatory Authority of the Abu Dhabi Global Market (ADGM), the International Financial Centre of Abu Dhabi. This allows the stablecoin issuer to operate as a Money Services Provider in the IFC.

The USDC (USDC) issuer also appointed Saeeda Jaffar as its managing director for Circle Middle East and Africa. The new executive also serves as a senior vice president and group country manager for the Gulf Operation Council at Visa and will be tasked with developing the stablecoin issuer’s regional strategy and partnerships.

Circle co-founder, chairman and CEO Jeremy Allaire said that the relevant regulatory framework “sets a high bar for transparency, risk management, and consumer protection,” adding that those standards are needed if “trusted stablecoins” are going to support payments and finance at scale.

Related: Abu Dhabi Investment Council triples stake in Bitcoin ETF in Q3: Report

Abu Dhabi awards a wave of licenses

The ADGM has recently awarded licenses for financial operations to a wave of crypto companies. Earlier this week, Tether’s USDt (USDT) — the largest stablecoin by circulation and Circle’s top competitor — secured a regulatory milestone in Abu Dhabi’s international financial center, as did Ripple’s dollar-pegged stablecoin Ripple USD at the end of November.

On Monday, crypto exchange Binance was granted three separate licenses from Abu Dhabi’s financial regulator, allowing it to operate its exchange, clearing house and broker-dealer services. This followed its competitor Bybit receiving regulatory approval in the UAE in early October.

Related: HSBC to bring tokenized deposits to US and UAE as stablecoin race heats up

UAE bets on crypto

The Central Bank of the UAE has been actively reviewing its cryptocurrency regulations. In November, it introduced rules for decentralized finance (DeFi) and the broader Web3 industry.

The newly introduced Federal Decree Law No. 6 of 2025 brings DeFi platforms, related services and infrastructure providers under the scope of regulations if they enable payments, exchange, lending, custody, or investment services, with licenses now required. Local crypto lawyer Irina Heaver said that “DeFi projects can no longer avoid regulation by claiming they are just code.”

Heaver told Cointelegraph at the end of 2024 that during that year the country cemented its status as a global crypto hub.

In October 2024, the UAE exempted cryptocurrency transfers and conversions from value-added tax, just a month after Dubai’s digital asset regulator announced stricter rules on crypto marketing. Around the same time, local free economic zone Ras Al Khaimah Digital Assets Oasis was also working to introduce a legal framework for decentralized autonomous organizations.

Local regulators were not shy about enforcing the rules, with Dubai’s Virtual Assets Regulatory Authority cracking down on seven unlicensed crypto businesses, issuing fines and cease-and-desist orders.

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