DDSC Secures Central Bank Approval to Expand into VARA-Regulated Exchange Platforms

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DDSC Secures Central Bank Approval to Expand into VARA-Regulated Exchange Platforms

Abu Dhabi, UAE – The UAE dirham-backed stablecoin, DDSC, has achieved a significant milestone by obtaining a No Objection Certificate (NOC) from the Central Bank of the UAE (CBUAE). This approval allows DDSC to launch on selected exchange platforms regulated by the Virtual Assets Regulatory Authority (VARA). The move is expected to facilitate broader adoption of a regulated digital payment and settlement asset denominated in UAE dirhams, enhancing the digital economy of the UAE.

Expansion Beyond Institutional Settlement

The approval marks a pivotal step in DDSC’s journey, enabling its expansion beyond institutional settlement. This advancement opens avenues for retail, merchant, and business payment use cases through selected regulated platforms. The stablecoin is issued through a collaboration involving International Holding Company (IHC), First Abu Dhabi Bank (FAB), and Sirius International Holding, and it operates on the ADI Chain, an institutional Layer-2 blockchain developed by the ADI Foundation.

Since its inception, DDSC has demonstrated its capabilities at an institutional scale, with transactions exceeding AED 150 million. This showcases the scalability, resilience, and operational readiness of the ecosystem. With the NOC in place, DDSC is poised to enhance user access, allowing for easier buying and redeeming of the stablecoin through compliant channels.

Everyday Payments and Enhanced Accessibility

The partnership with selected regulated platforms will extend DDSC’s utility beyond institutional applications. Once available, DDSC will facilitate everyday transactions, such as payments from shoppers to merchants, settlements between businesses and suppliers, and peer-to-peer fund transfers. All transactions will be denominated in AED and settled on-chain, offering a faster alternative to traditional payment systems. This development promises to deliver a familiar unit of account combined with the speed and cost-effectiveness of blockchain technology for retail users and merchants in the UAE.

As a regulated stablecoin, DDSC provides a local currency alternative to the predominantly US dollar-denominated stablecoins prevalent in global digital asset markets. By enabling transactions directly in UAE dirhams, DDSC aims to enhance efficiency for domestic payments while bolstering the UAE’s digital financial infrastructure.

Statements from Industry Leaders

Syed Basar Shueb, CEO of IHC, emphasized the importance of this approval, stating that it represents a significant milestone in the evolution of the UAE’s regulated digital financial ecosystem. He noted that following the successful demonstration of DDSC at an institutional scale, this next phase will broaden its reach to businesses and individuals through selected VARA-regulated platforms, promoting faster and more efficient digital transactions in UAE dirhams.

Futoon Hamdan AlMazrouei, Group Head of Personal, Business, Wealth, and Privileged Client Banking Group at FAB, highlighted that this approval expands access to regulated digital payments, allowing more businesses and individuals to transact securely in UAE dirhams. She reaffirmed FAB’s commitment to delivering innovative payment solutions that align with the evolving needs of clients while contributing to the UAE’s vision of establishing a leading global digital economy.

Ajay Hans Raj Bhatia, CEO of Sirius International Holding, remarked that receiving the Central Bank’s NOC is a crucial step towards making regulated digital payments accessible to everyday users. He stated that extending DDSC beyond institutional applications creates new opportunities for secure and efficient transactions in UAE dirhams, reflecting the strength of collaboration among partners.

Strengthening the UAE’s Digital Economy

This milestone builds on the successful launch of DDSC and the execution of one of the region’s largest stablecoin transactions. It reinforces the long-term vision shared by IHC, FAB, and Sirius to develop a trusted and regulated digital financial infrastructure from the UAE for both regional and global markets. With access through selected regulated platforms, DDSC is set to support a growing range of payment, settlement, and financial services use cases, contributing to the ongoing evolution of the UAE’s digital economy.

About IHC

Established in 1999, IHC has emerged as the most valuable holding company in the Middle East and one of the largest investment firms globally, with a market capitalization of AED 855 billion (USD 233 billion). IHC is committed to sustainability, innovation, and economic diversification across over 1,300 subsidiaries, driving growth in key sectors such as Technology, Infrastructure, Financial Services, and Consumer.

About DDSC

DDSC introduces a regulated AED-backed payment token model designed for real-world applications. Backed 1:1 by a segregated Reserve of Assets in compliance with regulatory frameworks, DDSC supports secure and efficient payment, settlement, and treasury workflows. It is designed to enable programmable transaction structures across licensed rails for practical use in institutional, commercial, and selected user-facing environments.

About Sirius International Holding

Sirius International Holding, a subsidiary of IHC based in Abu Dhabi, is at the forefront of sustainability through technology and digital transformation. The company comprises over 20 subsidiaries globally, each contributing to shaping today’s health, climate, and digital ecosystems.

About First Abu Dhabi Bank (FAB)

FAB, headquartered in Abu Dhabi, operates in over 20 markets and is a key player in the finance and trade sectors within the Middle East and North Africa region (MENA). With total assets of AED 1.49 trillion (USD 406 billion) as of March 2026, FAB is among the world’s largest banking groups, providing comprehensive financial services across various business units.

For further details, visit Zawya.

Read all the latest developments and breaking updates in the Latest News section.

Published on 2026-07-04 19:40:00 • By the Editorial Desk

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