Dubai has officially approved USD Coin (USDC) and EURC as recognized stablecoins within the Dubai International Financial Centre (DIFC). This move positions Circle as a key player in the region’s digital asset sector and expands its reach in regulated financial environments.
Stablecoins Gain Legitimacy in Dubai’s Financial Hub
The Dubai Financial Services Authority (DFSA) has granted regulatory approval for USDC and EURC. Here’s why this is huge—it will allow financial institutions and fintech firms in the DIFC to integrate these stablecoins into their operations. According to Circle, this includes digital asset services, payments, and treasury management.
Bitget Research’s Ryan Lee called the decision a game-changer because it “enhances trust in stablecoins amid regional volatility.” Moreover, one could speculate on why they didn’t bring on Tether, which really does challenge Tether’s dominance in the $157 billion stablecoin market.
Circle Strengthens Its Global Position
Circle is now the only major global stablecoin issuer compliant with both Europe’s MiCA regulations and Canada’s new listing rules. Dante Disparte, Circle’s Chief Strategy Officer, said the approval aligns with the company’s mission to make digital dollars and euros more accessible worldwide.
At present, USDC holds a $56 billion market cap. This makes it currently stand as the second-largest stablecoin, behind Tether (USDT), which leads with $142 billion.
Digital assets are constantly evolving, and regulatory moves like Dubai’s latest decision show the new accepting stance countries have on digital assets. Investors should stay ahead by tracking well-established cryptos on TipRanks’ Cryptocurrency Center.
