Circle, the issuer of leading stablecoin USDC, has secured in-principle approval (IPA) from the Financial Services Regulatory Authority (FSRA) of the Abu Dhabi Global Market (ADGM) to operate as a money services provider within the region. This milestone marks another step in Circle’s global expansion strategy and underlines its commitment to regulatory compliance.
Regulatory Milestone in the UAE
The approval, announced via an official press release, indicates that Circle has met the preliminary regulatory requirements necessary to conduct business in Abu Dhabi’s financial free zone. However, Circle must still obtain full regulatory approval before formally launching operations within ADGM.
Located in the capital of the United Arab Emirates, Abu Dhabi Global Market serves as a major international financial center with its own independent regulatory framework. Crypto firms looking to establish themselves in ADGM must receive authorization from the FSRA, ensuring compliance with stringent financial and operational standards.
Circle had already entered ADGM in December 2024 with the registration of its USDC operations and now moves one step closer to expanding its footprint in the region.
Circle’s Commitment to Compliance and Innovation
In a statement, Jeremy Allaire, Co-Founder and CEO of Circle, emphasized the significance of the approval:
“The UAE is paving the way for responsible innovators to build the internet financial system. This IPA from ADGM advances our strategy to establish deep roots in markets embracing the on-chain economy, creating new pathways for investment and innovation in the region.”
Allaire’s comments reflect Circle’s broader mission to work within clear regulatory environments and to promote stablecoin adoption globally through compliant frameworks.
Arvind Ramamurthy, Chief of Market Development at ADGM, also welcomed Circle’s growing presence:
“We look forward to working with Circle as they expand their operations and contribute to the advancement of digital finance in the UAE.”
Ramamurthy noted that Circle’s arrival supports ADGM’s ambition to position itself as a leading crypto innovation hub, boosting the UAE’s global reputation in digital finance.
A Global Push for Stablecoin Regulation
Circle’s regulatory progress in Abu Dhabi mirrors broader discussions about stablecoin oversight worldwide. Earlier this month, Dante Disparte, Circle’s Head of Global Policy, highlighted the need for clear regulatory frameworks to support innovation and attract institutional investors into the digital asset ecosystem. He cited Europe’s Markets in Crypto-Assets Regulation (MiCA) framework as an example of balanced, forward-thinking stablecoin regulation.
As global regulators move toward clearer stablecoin guidelines, Circle’s proactive engagement with authorities like ADGM signals its strategy to stay ahead in a rapidly evolving financial landscape.
