Paxos receives in-principle approval to issue stablecoins in Abu Dhabi
Turner Wright6 hours agoPaxos receives in-principle approval to issue stablecoins in Abu DhabiThe approval followed a similar move by regulators in Singapore, where Paxos said its local entity would launch a U.S. dollar-backed stablecoin.623 Total views18 Total sharesListen to article 0:00NewsJoin us on social networksCrypto firm Paxos has secured in-principle approval from Abu Dhabi’s regulator on two fronts: to issue stablecoins and conduct digital asset services.
In a Nov. 29 announcement, Paxos said the Financial Services Regulatory Authority in the Abu Dhabi Global Market had granted in-principle approval for the company to issue United States dollar-backed stablecoins as well as “offer crypto-brokerage and custody services” in the emirate. The approval followed a similar move by regulators in Singapore, where Paxos said its local entity would launch a U.S. dollar-backed stablecoin.
“Our IPAs from the FSRA, on the heels of our IPA from the Monetary Authority of Singapore, solidify our commitment to pursuing international growth through regulated frameworks,” said Paxos head of strategy Walter Hessert. “Paxos is unique in the industry for this approach and we will continue expanding our regulatory licensing to serve global enterprises as a trusted, innovative partner.”
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According to Paxos, it will continue to expand the use of its stablecoins upon full approval. The firm reiterated transparency regarding its stablecoin reserves as “stable, safe, and reliable.” PayPal launched its PYUSD stablecoin issued by Paxos in August.
On Nov. 1, the Abu Dhabi Global Market introduced comprehensive regulations related to distributed ledger technology. The region began preparing regulations on cryptocurrency in 2018.
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