Circle’s Daring Tango with Abu Dhabi: Will Stablecoins Survive the Desert Heat?

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Circle, purveyor of stablecoins and occasional destroyer of sleep for global regulators, has bagged an In-Principle Approval (“IPA”—not the beer, to my disappointment) from the Financial Services Regulatory Authority of Abu Dhabi Global Market. This marvellous feat permits Circle to operate as a money services provider, one step closer to achieving the sort of respectability previously reserved for English clergymen and accomplished forgers.

Circle’s Bold Gambit: Arabian Nights, Finance Edition 🏝️

Circle Internet Group, that steadfast digital banker issuing USDC stablecoin and other marvels of modern imagination, has triumphantly announced its IPA from Abu Dhabi’s regulatory dons at ADGM. This “blessing”—we might call it a bureaucratic peck on the cheek—admits Circle into the exclusive club of those licensed to shuffle money without the authorities raising a single eyebrow.

In a public flourish worthy of a minor royal announcement, Circle declared this step a vital inch along the winding path to full Financial Services Permission. Apparently, “progressive regulatory frameworks” are the new black, and ADGM is desperate to be seen wearing it. Circle, having put down its roots in ADGM in December 2024 (as one does, after the usual seasonal festivities), signals its continuing conquest of the United Arab Emirates.

Jeremy Allaire, the sort of CEO who probably dreams in regulatory frameworks, assures us that the UAE is “paving the way for responsible innovators.” Responsible innovators—rather than irresponsible ones, presumably—are to be cherished in the new financial order, so long as they don’t spill their tea on the ledger.

The IPA, we’re told, is less about grabbing market share at any cost and more about basking in the warm glow of regulatory affection. Circle’s crusade for trust and transparency, while noble, has occasionally left marketing departments sighing over missed opportunities for a “moonshot.”

Arvind Ramamurthy, Chief of Market Development at ADGM and presumably a man with more business cards than sense, issued a suitably upbeat benediction:

We are agog at Circle’s regulatory-first pageantry—er, approach. Their presence burns brightly in ADGM’s innovative aviary, eagles and peacocks both, and makes us all feel terribly modern in our pinstripe suits.

Dante Disparte, Circle’s head of clever titles, insists (with only the mildest undertone of sanctimony) that “regulatory clarity and innovation can, and must, coexist.” It’s a little like saying top hats and jet packs go naturally together—ambitious, faintly mad, and surprisingly plausible if repeated often enough at cocktail parties.

Circle is also galloping into fresh partnership with Hub71, Abu Dhabi’s notorious tech ecosystem, where innovation is apparently so thick in the air that unsuspecting accountants have been known to go mad breathing it. Through Hub71’s digital regulatory sandbox—a phrase worthy of choice ridicule—Circle will infuse its expertise into a roiling mass of 500-odd tech startups. Ahmad Ali Alwan, CEO of Hub71 and aspiring poet laureate, assures us that this partnership will position Abu Dhabi as a “global hub” for FinTech. The city may soon be so full of hubs there’ll be nowhere to park your camel.

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2025-04-30 09:00