Regulatory developments are underway: the UAE’s central bank now permits only licensed entities to issue stablecoins and supports a dirham-backed digital coin spearheaded by ADQ and First Abu Dhabi Bank. Meanwhile, Bahrain introduced a Stablecoin Issuance Module (SIO) allowing issuance of fiat-backed stablecoins under central bank approval—paving the way for broader crypto integration in financial systems.

Source: wikipedia