Circle obtains USDC regulatory approval in Abu Dhabi and joins the tech ecosystem.

Circle, the organization behind the USDC stablecoin, has received preliminary endorsement from the Financial Services Regulatory Authority (FSRA) in Abu Dhabi.

This approval, disclosed on April 29, moves Circle one step closer to obtaining complete Financial Services Permission (FSP) to operate within the Abu Dhabi Global Market (ADGM).

This development follows Circle’s establishment in ADGM in December 2024. It represents an important advancement in the issuer’s strategy to deliver compliant financial solutions across the Middle East and Africa (MEA).

Circle emphasized that this endorsement reinforces its standing as a reliable entity within the growing landscape of regulated digital finance.

The firm remarked that this position would facilitate the broader use of USDC, which ranks as the second-largest stablecoin pegged to the US dollar by market cap, throughout the Middle East.

They indicated that this would significantly enhance the adoption of USDC in a region that is increasingly embracing digital assets, allowing it to compete effectively against Tether’s USDT, the largest stablecoin by market capitalization.

Circle’s CEO, Jeremy Allaire, commented:

“[This creates] new pathways for investment and innovation in the region. It also underscores Circle’s enduring commitment to global stablecoin oversight—strengthening trust, compliance, and adoption worldwide, while laying a resilient foundation for the internet financial system.”

In addition to its regulatory achievements, Circle has collaborated with Hub71, a prominent tech ecosystem in Abu Dhabi.

This collaboration aims to foster innovation in digital assets and enhance the fintech infrastructure in the region.

Circle will also engage with Hub71 to utilize ADGM’s digital regulatory sandbox, a framework aimed at testing and supporting new financial technologies. This partnership will offer fintech entrepreneurs access to grants, funding networks, and opportunities to grow their operations.

Furthermore, Circle will join Hub71’s Digital Assets Specialist ecosystem, which comprises over 500 technology startups and venture capital partners.

Ahmad Ali Alwan, CEO of Hub71, stated:

“Circle’s expertise will enrich our digital assets ecosystem, providing Hub71 founders with greater access to resources, mentorship, and growth opportunities. Through this partnership, we are enabling the adoption of leading digital financial infrastructure that supports startup growth and drives the evolution of Web3 and digital finance from Abu Dhabi.”