Circle Expands into Abu Dhabi With New Money Services License

Stablecoin issuer Circle has received regulatory approval to operate within the Abu Dhabi Global Market (ADGM), strengthening its presence in the United Arab Emirates as the region advances its digital asset regulatory framework.

In an announcement Tuesday, Circle Internet Group said it was granted a Financial Services Permission license from the Financial Services Regulatory Authority of ADGM. The approval allows Circle to operate as a licensed Money Services Provider within Abu Dhabi’s international financial center.

Related reporting: South Korea’s First Won-Backed Stablecoin to Launch on Circle’s Arc Network

The authorization enables Circle to offer regulated stablecoin and payment services in the region. The move marks a significant step in Circle’s expansion strategy and aligns with the UAE’s push to attract compliant blockchain and fintech companies under a clear legal structure.

Source: Circle

Strategic Hire Strengthens Circle’s Middle East Expansion

Circle also appointed Saeeda Jaffar as Managing Director for the Middle East and Africa. Jaffar, who is also a senior vice president and group country manager for the Gulf Cooperation Council at Visa, will lead the company’s regional strategy and partnerships.

Circle CEO Jeremy Allaire said ADGM’s regulatory framework sets high standards for transparency, risk controls, and consumer protection, noting these qualities are essential for stablecoins like USDC to support global-scale financial services.

The approval helps position Circle’s USDC, the second-largest stablecoin globally, for deeper adoption across the UAE’s evolving digital finance ecosystem.

UAE Accelerates Crypto and DeFi Regulation

The UAE has been rapidly updating its digital asset regulations to position itself as a global crypto hub. In November 2025, the Central Bank introduced a new regulatory regime for decentralized finance and Web3 services through Federal Decree Law No. 6 of 2025. The law requires DeFi platforms, payment processors, lending services, and custodians to obtain licenses when offering regulated activities.

Local crypto lawyer Irina Heaver said the UAE has made it clear that DeFi platforms can no longer avoid oversight simply by claiming they are “just code,” noting the country is setting an international benchmark for crypto regulation.

The UAE has also implemented several business-friendly measures. In October 2024, it exempted cryptocurrency transfers and conversions from value-added tax. Dubai’s Virtual Assets Regulatory Authority has also tightened compliance enforcement, issuing fines and cease-and-desist orders to unlicensed operators.

Meanwhile, Ras Al Khaimah Digital Assets Oasis, a free economic zone focused on blockchain innovation, has been developing a legal framework for decentralized autonomous organizations.

UAE Positions Itself as a Global Digital Finance Hub

Industry observers say the UAE’s combination of progressive regulation, tax incentives, and regulatory enforcement has helped establish it as one of the world’s leading jurisdictions for Web3 innovation.

According to Heaver, the UAE has now firmly cemented its status as a global crypto hub, offering regulatory clarity that appeals to both startups and major international firms.

With Circle’s entry into Abu Dhabi, the UAE continues to attract major players building the infrastructure for a regulated digital economy.