ADX-Listed Phoenix Group PLC And Global Crypto Giant Tether Set To Create UAE Dirham-Pegged Stablecoin By mirroring the value of the UAE dirham, which is amongst the world's most stable currencies, this stablecoin aims to bridge the gap between traditional finance and the digital economy.
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Phoenix Group PLC, the MENA region's first crypto and blockchain conglomerate listed on the Abu Dhabi Securities Exchange (ADX), has collaborated with Tether, a global blockchain-enabled platform that facilitates the use of fiat currencies in a digital manner, to launch a stablecoin pegged to the UAE dirham. The collaboration is supported by Abu Dhabi-based investment firm Green Acorn Investments Ltd.
With the global market for stablecoins currently valued at US$150 billion and set to grow exponentially to $2.8 trillion by 2028, this initiative is set to further support the digital assets landscape by providing a stable, reliable, and secure digital currency.
By mirroring the value of the UAE dirham, which is amongst the world's most stable currencies, this stablecoin aims to bridge the gap between traditional finance and the digital economy, offering a robust solution for investors, businesses, and everyday consumers seeking stability in the world of cryptocurrency and digital assets.
The stablecoin will be built on a state-of-the-art blockchain platform, ensuring security, transparency, and efficiency. The stablecoin will provide a haven for assets in an often unpredictable market, backed by the financial strength and tech expertise of Phoenix and Tether, and governed by strict regulatory compliance measures.
Seyed Mohammad Alizadehfard, co-founder and Group CEO of Phoenix Group, said, "This collaboration with Tether not only underscores our commitment to innovation and excellence but also reflects our dedication to providing financial solutions that meet the needs of our customers. Abu Dhabi's progressive stance towards blockchain, digital assets and innovation makes it the perfect launchpad."
The dirham-pegged stablecoin is anticipated to be accessible globally and will be deeply rooted in the UAE's economic strength and stability.
"The UAE is a trailblazer in digital currencies and financial innovation and this partnership between Tether and Phoenix Group to create a dirham-pegged stablecoin reflects our commitment to innovate in the digital economy," commented Farah Zafar, Managing Director and Group Chief Legal Officer, Phoenix Group.
Paolo Ardoino, CEO of Tether, said that the dirham-pegged token will be a valuable and versatile addition to the UAE's economy. "Tether's dirham-pegged stablecoin is set to become an essential tool for businesses and individuals looking for a secure and efficient means of transacting in the UAE dirham whether for cross-border payments, trading, or simply diversifying one's digital assets," Ardoino added.
Watch the full video for highlights from the launch event of the stablecoin in Dubai!
Related: The UAE's Crypto Powerhouse: Munaf Ali, Co-Founder And Group Managing Director, Phoenix Group
