Ripple Is Expected To Launch A Dirham-backed Stablecoin For The Uae

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• According to various reports, Ripple Labs, the issuer of the XRP cryptocurrency, is working on launching a stablecoin backed by the UAE dirham AED. This comes after speculation that the blockchain payments firm is expected to release a dollar-pegged stablecoin in the United States.
• The Central Bank of the UAE recently introduced a regulatory framework allowing stablecoins backed by the dirham and other currencies to be used for remittances and cross-border payments by businesses and consumers.
• Ripple has partnered with the Dubai International Financial Centre's DFIC Innovation Hub to accelerate the adoption of blockchain technology and digital asset innovation in the region. The company has promised 550 million or 1 billion XRP tokens for the initiative.
• Stablecoin issuer Tether is also gearing up to launch a dirham-pegged stablecoin and is working on obtaining the UAE central bank's Payment Token Services Regulation license to issue the token.

Recent reports have sparked speculation that Ripple Labs, the developer of the Ripple XRP token and the Ripple blockchain , is preparing to launch a stablecoin pegged to Dirham AED in the United Arab Emirates.

The news picked up steam following reports that Ripple will be launching its US dollar-backed RLUSD stablecoin soon, especially after Donald Trump's victory, which has been a bullish moment for the crypto market as evidenced by Bitcoin BTC recording all-time high prices two days in a row.

Ripple to Launch AED-Pegged Stablecoin in the UAE

In a recent blog, Ripple stated that the UAE has distinguished itself as an international hub for progressive digital asset regulation, creating a fertile environment for innovation in blockchain technology.

The Central Bank of the UAE has introduced a regulatory framework supporting AED-backed stablecoins alongside other cryptocurrencies pegged to the value of global fiat currencies. The central bank's approach is notable because it allows non-Dirham stablecoins to be registered and used for crypto asset transactions within the country.