This post was originally published on The FinTech Times
Universal Digital Intl Limited (Universal) has launched USDU, the first USD-backed stablecoin to be registered by the Central Bank of the UAE (CBUAE) under its Payment Token Services Regulation (PTSR).
The move positions Universal as the first “Foreign Payment Token Issuer” registered by the CBUAE. The launch is significant as it establishes the country’s first fully regulated framework for USD-denominated digital asset settlement, a critical component for the maturation of the region’s crypto economy.
A compliant pathway for settlement
Juha Viitala, senior executive officer at Universal
Under the UAE’s PTSR framework, payments for digital assets and derivatives can only be compliant if conducted in fiat currency or a “Registered Foreign Payment Token.” As USDU is currently the only token to hold this status, it effectively becomes the primary compliant settlement option for the market.
“USDU sets a new benchmark for regulated digital value,” said Juha Viitala, SEO of Universal. “Being the first Foreign Payment Token registered by the UAE Central Bank – and supported by leading UAE banks – gives institutions the clarity and confidence they have been waiting for.”
Institutional backing
The stablecoin is backed by reserves held 1:1 in safeguarded onshore accounts at major
— Read the rest of this post, which was originally published on The FinTech Times.
