Circle Receives In-Principle Approval to Operate as a Money Services Provider in Abu Dhabi
Circle, the issuer of the USD Coin (USDC) stablecoin, announced that Abu Dhabi Global Market (ADGM) has received in-principle approval from the Financial Services Regulatory Authority (FSRA) to operate as a money services provider in the United Arab Emirates capital.
This approval marks a significant step in Circle’s international expansion and strategy to strengthen global stablecoin adoption and oversight.
While not yet a full regulatory licence, the in-principle approval means Circle meets the basic requirements of the FSRA and is on track to be granted full authorisation to provide financial services in the ADGM’s financial free zone.
Circle has outlined its intention to establish a stronger presence in the Middle East and Africa by establishing a legal entity within ADGM in December 2024.
“The UAE is paving the way for responsible innovators to build their internet finance system,” said Jeremy Allaire, co-founder and CEO of Circle. “This IPA from ADGM advances our strategy of establishing deep roots in markets embracing the onchain economy, opening new avenues for investment and innovation in the region.”
Allaire added that the approval strengthens Circle’s commitment to compliance, transparency, and international trust in stablecoins, calling the initiative “a solid foundation for the internet financial system.”
The move reflects Circle’s progress through the regulatory process in Singapore, where an in-principle licence was granted in late 2022, leading to full approval around seven months later. If a similar timeline is followed in the UAE, Circle could receive full approval in Abu Dhabi in the second half of 2025.
Circle currently issues USDC, a stablecoin pegged to the USD, which represents over 31% of the entire Ethereum-based stablecoin supply. The company’s regulatory pressure continues as it prepares to go public by filing for an initial public offering (IPO) with the U.S. Securities and Exchange Commission earlier this month.
*This is not investment advice.
