Circle, the company behind the USDC stablecoin, has secured a key regulatory milestone in the Middle East, gaining in-principle approval from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM). The preliminary approval moves Circle closer to obtaining a full license as a money services provider in the region.
The development marks a major step in Circle’s global expansion strategy as it targets financial hubs that are embracing blockchain innovation and stablecoin adoption. After formally incorporating in ADGM last December, Circle’s regulatory progress now positions it to tap into the Middle East’s fast-growing digital finance ecosystem.
The approval comes as USDC’s market capitalization surpasses $62 billion, reflecting accelerating adoption amid rising demand for stable, on-chain payment alternatives for institutions, businesses, and individuals.
Circle’s regulatory momentum in Abu Dhabi signals its commitment to working closely with forward-looking jurisdictions, especially as global scrutiny around stablecoins intensifies.
“The approval advances our strategy to establish deep roots in markets embracing the onchain economy, creating new pathways for investment and innovation,” Circle CEO Jeremy Allaire said in a statement.
Circle Strengthens Regional Presence Through Hub71 Partnership
Alongside its regulatory approval, Circle announced a strategic partnership with Hub71, Abu Dhabi’s premier tech ecosystem. The collaboration focuses on initiatives within ADGM’s digital sandbox, including grants for startup founders and expanded access to the region’s institutional investor networks.
Although Circle declined to disclose further regional plans due to a regulatory “quiet period” following its U.S. public listing paperwork, the Hub71 partnership signals a broader ambition to deepen Circle’s presence in the Middle Eastern digital finance landscape.
The news comes as stablecoins increasingly underpin the blockchain economy. Originally used for trading, stablecoins now play a critical role in payments, remittances, and decentralized finance (DeFi). According to rwa.xyz, the total stablecoin market capitalization stands at roughly $230 billion — a sign of growing global adoption.
USDC Surges 40% in 2025 Amid Global Expansion
USDC, Circle’s flagship stablecoin fully backed by U.S. dollar reserves and government bonds, continues to strengthen its role in global digital finance. Its supply has surged over 40% year-to-date, pushing USDC’s market cap beyond $62 billion.
Circle has simultaneously expanded its regulatory footprint worldwide. In 2024, it became the first major stablecoin issuer to achieve compliance with Europe’s MiCA (Markets in Crypto-Assets) regulations — a major step as Europe prepares comprehensive crypto oversight.
In Asia, Circle partnered with Japan’s SBI Holdings to launch USDC services in the country, aiming to capture the region’s booming digital payments sector. Last week, the company also introduced a cross-border payments network designed to drive stablecoin adoption for international commerce.
Quick Facts
- Circle received in-principle approval from ADGM to operate as a money services provider.
- The company partnered with Abu Dhabi’s Hub71 to promote digital innovation.
- USDC’s market capitalization has exceeded $62 billion in 2025.
- Circle continues expanding globally, including recent moves into Japan and Europe.
