The UAE Central Bank has approved of DDSC, a stablecoin developed by the Abu Dhabi-based International Holding Company (IHC) and the First Abu Dhabi Bank. It was launched on ADI Chain, an Ethereum Layer-2 blockchain mainly used for institutional applications.
The project is supported by ADI Foundation’s partnerships with BlackRock, Mastercard, and Franklin Templeton for tokenized assets and payments.
Officials envision DDSC transforming payments, treasury operations, and cross-border trade throughout the region. DDSC stands out from other UAE stablecoins for a few key reasons:
- Backed by UAE giants: It’s from International Holding Company (one of the world’s biggest investors) and First Abu Dhabi Bank (UAE’s largest bank)—giving it massive credibility and scale.
- Built for institutions: It is meant for high-value uses and not retail trading.
- Focus on real business needs: Programmable for fast payments, treasury, trade settlements, and even future AI-driven transactions—all fully central bank-approved and 1:1 backed by Dirhams.
- Boosts UAE’s lead: It’s the latest in a growing list (now ~4 AED stablecoins), but it emphasizes compliant, institutional-grade finance over speculation.
Targeting the $40 Billion Remittance Market
The stablecoin targets MENA’s substantial remittance flows, which exceed $40 billion annually. Industry leaders believe DDSC will slash costs while modernizing financial infrastructure across emerging markets. “This milestone underscores that stablecoins can be integrated responsibly into the financial system,” said Futoon Al Mazrouei, FAB’s group head of personal business and wealth banking.
The stage is certainly set for fostering the growth of digital finance in the UAE. As adoption grows, the stablecoin promises to make high-value transactions faster, cheaper, and more transparent.
