Dubai RLUSD Shake-up: Ripple Wins a Stablecoin Gold Star

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Ripple just landed a regulatory high five in the Middle East, as RLUSD gets a coveted green light to moonwalk in Dubai’s financial district. RLUSD is officially in the VIP lounge of the Dubai International Financial Centre – one of a tiny, exclusive club of stablecoins allowed to operate there. 😂

The decision was confirmed by the Dubai Financial Services Authority, which oversees financial regulation within the DIFC. Yes, the DFSA gave it a thumbs up, which apparently counts as a regulation badge of honor.

Only three stablecoins make the list

Under the updated rules, the DFSA has recognized just three stablecoins as compliant: USDC, EURC, and RLUSD. These tokens are now approved for use by firms operating in the Dubai International Financial Centre. So if you’re planning a Dubai-travel hack, this is your passport. 💼💸

The regulator made it clear that recognition is not the same as licensing, but it signals that these stablecoins meet Dubai’s current regulatory standards.

Shift away from token-by-token reviews

One of the biggest changes in the new framework is how crypto assets are evaluated. Instead of reviewing each token individually, the DFSA has introduced a clear set of eligibility criteria. This removes a slow approval process and avoids the risk that regulatory review could be mistaken for official endorsement. Translation: faster certs, fewer box-checks, more confidence. ⏱️✅

The new approach closely follows the model already used in Abu Dhabi’s financial zone, creating greater consistency across the UAE.

Tighter rules for the wider crypto market

The updated policy also introduces stricter controls. Privacy-focused tokens are no longer allowed in the DIFC, and new requirements have been added for crypto asset managers and investment funds. These steps are aimed at reducing risk while allowing regulated growth.

Why some stablecoins were excluded

The DFSA also clarified what qualifies as an acceptable stablecoin. Approved tokens must be fully backed by reserves held entirely in the same reference currency. Algorithmic stablecoins remain excluded, and tokens whose reserves include crypto assets or private credit do not meet the criteria. This explains why well-known stablecoins like DAI were left out.

What this means for Ripple

For Ripple, RLUSD’s recognition strengthens its footprint in Dubai, a region positioning itself as a global digital asset hub. The move highlights Dubai’s preference for fully backed, transparent stablecoins as it continues to build a tightly regulated but crypto-friendly financial environment. 🚀

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2026-01-12 19:08