RAKBANK Receives UAE Central Bank Approval to Launch AED-Backed Stablecoin
The post RAKBANK Receives UAE Central Bank Approval to Launch AED-Backed Stablecoin appeared on BitcoinEthereumNews.com.
TLDR: RAKBANK receives conditional approval from UAE Central Bank to issue AED-backed payment stablecoin Stablecoin will feature 1:1 AED backing with reserves held in segregated regulated bank accounts Bank enabled retail crypto trading in 2025 through regulated partner before stablecoin approval Real-time reserve attestations and audited smart contracts will ensure transparency and integrity RAKBANK has received in-principle approval from the Central Bank of the UAE to issue an AED-backed stablecoin. The regulatory green light marks a key development in the bank’s digital asset expansion. The approval remains subject to meeting regulatory and operational requirements before the full launch. This move positions RAKBANK among the region’s banks advancing blockchain-based payment solutions. Central Bank Grants Conditional Approval The Central Bank of the UAE granted RAKBANK permission to develop a payment token pegged to the national currency. The approval process requires the bank to complete additional regulatory checkpoints. RAKBANK must also satisfy operational standards set by the monetary authority. The bank’s digital asset strategy gained momentum in 2025 when it enabled retail customers to trade cryptocurrencies. This service operates through a regulated brokerage partner, providing customers access to digital markets. The new stablecoin project builds on these existing capabilities. Raheel Ahmed, Group CEO of RAKBANK, commented on the milestone during the bank’s 50th anniversary. “Receiving in-principle approval from the Central Bank of the UAE is an important milestone in our digital assets journey,” Ahmed said. He emphasized the bank’s focus on innovation that is responsible, regulated and built on trust. Ahmed added that the bank remains committed to developing solutions designed around customer needs and aligned with the UAE’s vision. Stablecoin Design and Reserve Structure The proposed stablecoin will maintain a 1:1 peg with the AED. Reserve assets backing the token will be held in segregated accounts under regulatory oversight. This structure…
Filed under: News - @ January 8, 2026 3:24 am