worldcoinindex.com
Universal Digital Intl Limited has unveiled USDU, a U.S. dollar–pegged stablecoin that it says is the first of its kind formally registered with the Central Bank of the United Arab Emirates. The launch positions USDU as the inaugural Foreign Payment Token approved under the UAE’s Payment Token Services Regulation framework.
The company says the registration marks a step forward in the UAE’s broader strategy to build compliant digital-asset infrastructure. Under local rules, certain digital-asset and derivatives transactions must be settled either in traditional fiat currency or through a registered foreign payment token, a category USDU now occupies.
USDU is designed as a regulated settlement instrument denominated in U.S. dollars, aimed at institutional and enterprise use cases. Universal states that each token is fully backed on a one-to-one basis by U.S. dollar reserves held at regional financial institutions, including Emirates NBD, Mbank, and Mashreq.
To support distribution and integration, Universal has partnered with Aquanow, a firm regulated by Dubai’s Virtual Assets Regulatory Authority. The collaboration is intended to connect USDU with a network of licensed service providers across the digital-asset ecosystem.
The launch comes as competition intensifies among dollar stablecoin issuers expanding in the Middle East. In late 2025, Circle obtained regulatory approval in Abu Dhabi to operate as a money services provider, outlining plans to grow regulated onchain payment and settlement services across the UAE and the wider region.
Together, these developments highlight the UAE’s accelerating role as a hub for regulated stablecoins and compliant digital finance.