International Holding Company (IHC) executed a transaction of AED 110 million ($30 million) using the DDSC stablecoin on the ADI chain. The company described the transfer as one of the largest disclosed stablecoin transactions executed in the United Arab Emirates.
The transaction follows the UAE Central Bank’s recent approval for a dirham-backed stablecoin ecosystem launched by IHC, First Abu Dhabi Bank and Sirius International Holding.
DDSC runs on ADI Chain, a layer 2 blockchain developed by the ADI Foundation. The system is designed for institutional use cases such as cross-border payments, treasury operations, and trade settlement, according to the announcement.
IHC said the transaction aims to demonstrate that DDSC and ADI Chain can support institutional-scale financial activities, and future plans are focused on payment corridors connecting the Middle East and global markets.
First Abu Dhabi Bank is the UAE’s largest bank by assets, and IHC is one of the country’s largest listed investment companies.
The announcement comes as UAE financial institutions and digital asset companies expand their regulated stablecoin infrastructure. In January, Universal Digital launched USDU, which it describes as the first US dollar-backed stablecoin registered by the Central Bank of the United Arab Emirates under the UAE Payment Token Services Regulatory Framework.
Cryptocurrency company expands regulated UAE operations
The UAE continues to attract global crypto exchanges and financial institutions seeking regulated access to the regional market as it expands its licensed digital asset services related to payments, custody and institutional trading.
Earlier this month, Crypto.com received a stored value facility license from the central bank, allowing residents to pay Dubai government fees using cryptocurrencies through its platform. This approval enables the company to support payments under Dubai’s broader government cashless payments strategy.
Crypto.com secures the SVF license. sauce: Crypto.com
Meanwhile, BNY partnered with FinStreet and the ADI Foundation in May to develop an institutional digital asset custody service in Abu Dhabi, initially supporting Bitcoin (BTC) and Ether (ETH), with plans to expand to stablecoins and tokenized assets later.
Kraken announced on Thursday that it had received preliminary approval from Dubai’s VARA regulator as part of its expansion plans in the UAE. The company said the approval will support UAE dirham financing, margin trading and over-the-counter trading, in addition to institutional services through Kraken Prime.
