Tether’s USDT Recognized as Accepted Virtual Asset in Abu Dhabi
Tether's USDT, the largest stablecoin in the cryptocurrency sector, has been recognized as an Accepted Virtual Asset (AVA) in Abu Dhabi. This designation was granted by the Financial Services Regulatory Authority (FSRA) of the Abu Dhabi Global Market (ADGM) after thorough regulatory review.
Tether's USDT Achieves Recognition in UAE
USDT can now be utilized by licensed companies in the ADGM for cross-border payments and other services, enhancing its integration into regulated financial systems. The recognition covers USDT issued on various blockchains, including Ethereum, Solana, and Avalanche, aligning with the UAE's goal to become a global digital finance hub.
With a market capitalization exceeding $138 billion, this milestone reinforces USDT's position in the digital asset market. It is increasingly adopted by traditional financial institutions due to its efficiency in facilitating international transactions.
Following its recognition in Abu Dhabi, USDT is set to enable innovative applications in the region. Tether's CEO, Paolo Ardoino, highlighted that this status will promote further innovation, stating, “This milestone underscores Tether’s commitment to fostering global financial inclusion and innovation. By bringing USD₮ to the forefront of ADGM’s regulated virtual asset framework, we are validating the importance of stablecoins as critical tools for modern finance.”
Tether's $5B USDT Minting in November
Prior to this achievement, Tether expanded its market presence significantly by minting over $5 billion worth of USDT within 72 hours in November. According to blockchain analytics platform Spot On Chain, the minting began on November 6, with approximately $1 billion introduced into circulation.
This increase raised USDT's market capitalization from about $124 billion in early November to around $132 billion by November 26, ultimately reaching approximately $138 billion by December 10, following the ADGM's approval.
Tether described the recognition of USDT as an Accepted Virtual Asset as a pivotal moment for the virtual asset industry in the region, confirming that USDT meets regulatory standards necessary for integration into services offered by licensed entities within the ADGM framework.