RAKBank has received in-principle approval from the Central Bank of the UAE to issue a dirham-backed stablecoin as the Emirates continues efforts to become a regional centre for blockchain-based payments and digital assets.
The stablecoin issuance is subject to the completion of regulatory and operational requirements, the bank said on Wednesday.
The stablecoin is expected to feature one to one backing in dirhams and can be held in segregated, regulated accounts to support full redemption at par value, the lender said. The tokens will be backed by audited smart contracts with real-time reserve attestations, it added.
“Receiving in-principle approval
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