- AE Coin is a stablecoin pegged 1:1 to the UAE dirham (AED).
- UAE is making strides in integrating cryptocurrency and blockchain in day to day lives of people.
- Dubai’s Department of Finance (DOF) partnered with global cryptocurrency platform Crypto.com to allow residents and businesses to pay for government services via cryptocurrency in May.
- Air Arabia became the first in the MENA region to integrate cryptocurrency with flight bookings.
In order to modernize public transportation and make it cashless, Abu Dhabi’s transport department introduced a digital payment system that lets passengers pay their taxi fees via AE Coin, an AED backed stablecoin.
By this latest development, Abu Dhabi became the first city globally to integrate a government backed digital currency directly into its taxi payment system.
Last month, Dubai’s Department of Finance (DOF) partnered with global cryptocurrency platform Crypto.com to allow residents and businesses to pay for government services via cryptocurrency.
Meanwhile, MENA’s largest budget airline Air Arabia said last month that passengers can book international flights using AE Coin as payment.
Tawasul Transport, the emirate’s primary transport operator and Al Maryah Community Bank, a pioneering financial institution specializing in digital assets and blockchain-based financial services collaborated to bring this initiative to light.
AE Coin is pegged 1:1 to the UAE dirham (AED) to ensure price stability and minimize volatility.
With this new payment system in place, passengers can seamlessly settle taxi fares via their digital wallets using AE Coin, offering a fast, secure, and contactless alternative to traditional cash or card payments.
This initiative aligns with Abu Dhabi’s broader strategic goals to promote smart city solutions and digital innovation.
Beyond taxis, the successful rollout of AE Coin payments in public transport could pave the way for wider adoption of stablecoin payments across other sectors in Abu Dhabi, including retail, hospitality, and government services.
This would foster a more integrated and futuristic digital economy.
Experts view this development as a major milestone in demonstrating the practical viability of stablecoins for everyday use.
