Circle USDC is Once Again on the Investors’ Radar as the Firm Has Secured In-Principle Approval

Circle, the issuer of the USD-linked stablecoin USDC, is once again on the investors’ radar as the firm has secured in-principle approval from Abu Dhabi’s financial regulator.

The Abu Dhabi Global Market’s (ADGM) Financial Services Regulatory Authority (FSRA) has granted preliminary clearance to the fintech giant, a key step for expanding its presence across the Middle East and Africa (MEA).

This approval also highlights the UAE’s role as a leading hub for regulated digital finance innovation.

USDC Issuer Circle Wins Major Approval In Abu Dhabi

The stablecoin issuer disclosed that it had received initial regulatory clearance from the Financial Services Regulatory Authority (FSRA) of the Abu Dhabi Global Market (ADGM).

The FSRA approval allows the company to progress toward a full Financial Services Permission (FSP) to operate as a money services business in the UAE.

This marks a major step forward for the USDC issuer, which was formally incorporated in ADGM in December 2024. CEO Jeremy Allaire highlighted the UAE’s openness to regulated innovation.

“The UAE is becoming a global model for building a truly resilient Internet financial system, in stark contrast to the 1999 financial innovation cycle in the US and other developed markets, which ultimately led to the market downturn and the Global Financial Crisis,” Allaire noted.

This approval helps the fintech firm to build lasting ties in markets that support blockchain-based finance, he added.

Moreover, Allaire emphasized the firm’s long-term commitment to compliance and transparency, stating that regulatory clarity can drive meaningful innovation.

“We are grateful for the trust placed in Circle by the FSRA to integrate our technology and services within the ADGM ecosystem,” Allaire said in a statement on Thursday.

Dante Disparte, Circle’s Chief Strategy Officer, also highlighted the importance of the move.

“This isn’t just a regional milestone, it’s a powerful message to the world that oversight and innovation can go hand-in-hand,” Disparte added.

According to Disparte, Circle’s infrastructure is designed to support the safe adoption of stablecoins globally.

“We look forward to continuing this journey with the same dedication to integrity and collaboration that has guided us from the beginning.”

ADGM also welcomed the development in a statement of its own.

“We are pleased to see the progress that Circle has made in securing the necessary regulatory approvals to launch its operations in ADGM. Its approach and vision align perfectly with our goals to become a global fintech hub with the highest regulatory standards,” said Arvind Ramamurthy, Chief of Market Development at ADGM.

According to Ramamurthy, Circle’s presence will be crucial in boosting the growth of future-ready financial services across the region.

New Collaboration To Boost Fintech Innovation

In addition to the regulatory win, Circle announced a strategic tie-up with Hub71, Abu Dhabi’s global tech ecosystem. The two plan to collaborate on programs inside ADGM’s digital sandbox.

This includes grants, mentorship opportunities, and access to venture capital for startups working in Web3 and digital assets. The fintech firm will also become a part of Hub71’s digital assets network, connecting with over 500 startups and global investors.

The move follows the launch of Circle’s own global payment network last week. The development sparked speculation that the stablecoin issuer may be gearing up to compete with Ripple in the cross-border payment space.

This news also comes as the broader stablecoin market has begun to gain notable traction.

For instance, analysts at Citigroup have projected that the stablecoin market could reach $1.6 trillion by 2030.

And as we mentioned in a recent Bitcoin price analysis, BTC could hit $475K if this Citigroup prediction holds true, highlighting how the stablecoins might affect the market trajectory.

Moreover, the recent recovery in the broader crypto market has further bolstered market confidence.

To conclude, a recent report hints that BTC price could hit $106K if it breaks through a key level ahead.