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- Stablecoin AE Coin to be tested for integration in the UAE’s digital payment systems.
- e& and Al Maryah Bank pilot using digital tokens for bill payments and mobile services.
- AED Stablecoin receives CBUAE approval, becoming a leader in UAE’s stablecoin market.
Telecom giant e& has signed a memorandum of understanding (MoU) with Al Maryah Community Bank to explore the integration of AE Coin, a dirham-pegged stablecoin, into its digital services.
The partnership aims to test whether regulated stablecoins can facilitate mainstream consumer payments in the UAE. This pilot initiative will focus on integrating AE Coin into e&’s digital payment infrastructure, according to Gulf News.
The collaboration aligns with the UAE’s push for regulated digital finance. Hatem Dowidar, CEO of e& Group, highlighted that the use of stablecoins could offer “instant settlement, complete transparency, and frictionless access” for consumers. The stablecoin, backed by the UAE’s Central Bank (CBUAE), aims to create a more efficient and secure payment system.
e& Plans AE Coin for Digital Payments and E-Commerce
The pilot program will enable customers to make different payment services with the help of AE Coin. These include bill payments, mobile and home service bills, filling up prepaid lines, and postpaid recharges.
Furthermore, e& is planning to investigate the possibility of embedding the stablecoin into e-commerce systems. Where it will become an alternative payment method in one of the most utilized consumer ecosystems in the UAE.
Also Read: Abu Dhabi’s Mubadala Capital Partners with Kaio to Tokenized Private Market Access
The CEO of Al Maryah Community Bank, Mohammed Wassim Khayata, referred to the initiative as one that will extend the issue of licensed virtual assets to a practical application. He highlighted the relevance of the blockchain technology in revolutionizing the financial services. The collaboration will help increase acceptance of digital assets in daily transactions.
Source: Gulf News
Stablecoin AED Coin Receives CBUAE Approval
Ramez Rafeek, general manager of the AED Stablecoin company, which created the AE Coin, referred to the deal as a landmark in the implementation of regulated stablecoins to consumer services.
AED Stablecoin is one of the initial companies that was provisionally accepted by the CBUAE through the framework of the Payment Token Service Regulation in the country. This license makes AED Stablecoin a pioneer in the market of stablecoins in the UAE.
Although the MoU could be considered a significant step, the initiative is still in its infancy. It is a test project and not a full-scale implementation. The timeframes, scope of rollout, and the measures of impact remain undefined.
Nonetheless, in the event of the pilot being successful, it might open the way to regulated stablecoins having a bigger role in daily financial operations.
Should the pilot be successful, it will prove how regulated stablecoins can silently drive daily financial operations and enhance efficiency and accessibility for consumers in the UAE.
Also Read: Stablecoins Growth and Tokenized Settlements Highlighted at Binance Blockchain Week
