UAE Launches First Sanctioned US Dollar Stablecoin as Universal Unveils USDU

TLDR

• UAE rolls out USDU, its first fully regulated USD stablecoin for institutions
• USDU launches as UAE’s first sanctioned stablecoin for compliant digital payments
• UAE introduces USDU to power regulated USD settlements in digital finance
• USDU debuts, marking a major step in UAE’s regulated digital-asset strategy
• UAE approves USDU, setting a new benchmark for compliant stablecoin adoption

The UAE advanced its digital-asset framework today as Universal introduced USDU, the first sanctioned USD stablecoin under the national rules. The company gained recognition as the first Foreign Payment Token Issuer approved by the UAE Central Bank. Moreover, the move positioned USDU as a regulated settlement token built for expanding digital-asset activity.

USDU Becomes the First Registered Foreign Payment Token

Universal launched USDU after securing approval under the Payment Token Services Regulation, and the token now supports compliant settlement across the UAE. The regulation permits digital-asset payments only in fiat or a Registered Foreign Payment Token and USDU fulfills that role. Institutions gained a structured path for USD-based digital settlement inside the national market.

The company established reserve backing for USDU through onshore accounts held at Emirates NBD and Mashreq. Monthly attestations support the reserves, and the model aligns with emerging global regulatory standards. The firm confirmed that Mbank serves as a strategic banking partner.

USDU enters the market as the UAE pushes to strengthen regulated digital-value infrastructure. The token acts as a unified settlement tool for digital-asset platforms, and it addresses structural demands for compliant USD flow. The model reflects the country’s broader strategy to anchor digital finance within clear legal boundaries.

Partnership Network Supports Market Integration of USDU

Universal partnered with Aquanow to accelerate USDU integration across regulated platforms. Aquanow operates under Dubai’s Virtual Assets Regulatory Authority, and the collaboration expands the stablecoin’s distribution channels. Institutions gain easier access to a compliant USD settlement instrument.

The company also works with AECoin to support future domestic conversion between USDU and the licensed AED token. This cooperation strengthens potential use cases, and it enhances settlement options under the UAE financial framework. The link between tokens may support domestic digital-asset operations.

USDU enters a market that seeks regulated digital-value solutions for cross-platform settlement. Universal aims to connect USDU with global venues where local rules permit its use. The token may support regulated cross-border flows as digital markets expand.

UAE Strengthens Position in Regulated Digital Finance

The UAE continues to build one of the most defined digital-asset systems in global markets. Regulators created clear structures for payment tokens, and USDU demonstrates the first operational pathway. The model offers institutions a regulated tool for USD settlement.

The UAE framework differs from several global jurisdictions that still shape their token rules. Universal uses this clarity to position USDU for institutional scale. The supervised structure reinforces confidence across the digital-asset sector.

Universal plans broader collaboration with financial institutions to widen access to USDU. The company expects regulated venues to adopt the token for settlement, and expansion may follow regional demand. USDU strengthens the UAE’s role as a leader in structured digital-asset regulation.

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