29-4-2025 – Circle, the force behind USDC—the world’s second-largest stablecoin—has secured a pivotal regulatory nod from Abu Dhabi’s Financial Services Regulatory Authority (FSRA) within the Abu Dhabi Global Market (ADGM). This In-Principle Approval (IPA) marks a significant milestone, positioning Circle as a nascent money services provider in the UAE and edging it closer to full licensing. The move signals not just an expansion but a strategic alignment with a region rapidly emerging as a crucible for digital finance innovation.
The UAE, with its lucid regulatory framework and voracious appetite for Web3 infrastructure, is no mere backdrop. Abu Dhabi is carving out a reputation as a vanguard of the next financial frontier, and Circle’s incursion is impeccably timed. “The UAE is charting a course for principled innovators to construct the financial system of the future,” declared Jeremy Allaire, Circle’s Co-Founder, Chairman, and CEO. This is no fleeting venture; Circle is laying down roots in a jurisdiction where regulation nurtures rather than constrains ambition. The company’s recent launch of a cross-border payments network, bolstering USDC’s utility with a circulating supply now at $62 billion—a 40% surge in 2025—underscores the momentum. Add to that Circle’s discreet filing for a U.S. IPO earlier this month, and the Middle East venture emerges as a linchpin in a broader global strategy.
Circle’s ambitions extend beyond mere market entry. By forging a partnership with Hub71, Abu Dhabi’s dynamic innovation hub, the company is embedding itself in the region’s entrepreneurial fabric. Through ADGM’s digital regulatory sandbox, Circle will collaborate on initiatives offering founders grants, mentorship, hackathons, and access to institutional networks. As a member of Hub71’s Digital Assets ecosystem, alongside over 500 startups and venture capital partners, Circle will lend its stablecoin expertise to fuel the evolution of Web3 and digital finance. “Circle’s knowledge will invigorate our ecosystem, empowering Hub71 founders with unparalleled resources and opportunities,” noted Ahmad Ali Alwan, Hub71’s CEO.
The global ascent of stablecoins, now with $230 billion in circulation according to rwa.xyz, is no longer a fringe phenomenon. What began as a tool for crypto traders has morphed into a formidable alternative for payments and remittances, often outpacing traditional banking systems. Circle, already a pioneer in complying with the EU’s MiCA regulations and recently expanding USDC into Japan via a partnership with SBI Holdings, is keenly aware of this shift. By staking a claim in Abu Dhabi, Circle is not merely riding the wave of stablecoin adoption—it is heralding a new era where innovation and regulation converge, with the Middle East poised to lead the charge.
