The stablecoin provider will work with Phoenix Group to launch a token pegged to the United Arab Emirates Dirham (AED).
Tether, the company behind USDT, the largest stablecoin in DeFi by market capitalization, plans to launch a stablecoin pegged to the UAE Dirham (AED).
The AED stablecoin will be launched in collaboration with one of the UAE’s leaders in blockchain mining solutions, Phoenix Group, with support from Green Acorn Investments.
The stablecoin will be fully backed by liquid UAE-based assets in line with Tether’s reserve standards utilized by its current stablecoin offerings, such as USDT, EURT, CNHT, MXNT, XUAT, and aUSDT.
The announcement comes less than a month after Tether released its H1 2024 audit, which reported a net profit of over $5.2 billion, a 57% increase compared to H1 2023.
In the press release, Tether CTO Paolo Ardoino said, “The United Arab Emirates is becoming a significant global economic hub, and we believe our users will find our Dirham-pegged token to be a valuable and versatile addition.”
Seyedmohammad Alizadehfard, co-founder and CEO of Phoenix Group, stated, “Abu Dhabi’s progressive stance towards blockchain, digital assets and innovation makes it (Tether) the perfect launchpad.”.
USDT alone currently boasts a market capitalization of $117 billion, making up nearly 70% of the $168 billion stablecoin industry, according to DeFiLlama.
Source: https://thedefiant.io/news/defi/tether-to-launch-uae-dirham-stablecoin