UAE Unveils First AED-Backed Stablecoin, Zand AED
The UAE has launched Zand AED, the nation’s first regulated multi-chain AED-backed stablecoin. Since the Central Bank approved the initiative, it marks a major milestone in advancing the Dirham into the digital economy. The launch brings the national currency onto global blockchain networks while maintaining the protection of a regulated banking environment. Because it merges secure oversight with blockchain speed and openness, the development reflects a significant shift in the country’s financial innovation strategy.
Zand AED is backed one-to-one by AED reserves held in segregated and regulated accounts, ensuring full redemption value. Additionally, the system provides real-time transparency through independently audited smart contracts and reserve attestations. It operates across multiple public blockchains, enabling fast cross-border settlement and easy integration for developers, businesses, and financial institutions. The stablecoin is issued by a licensed and supervised entity with a BBB+ rating from Fitch.
A New Digital Era for the Dirham
The introduction of Zand AED signals a new stage for the UAE’s digital financial ecosystem. Because it functions on public blockchains, it opens pathways for modern settlement systems, tokenization use cases, and broader digital asset innovation. As a result, the national currency gains expanded utility and global interoperability.
The stablecoin also strengthens the UAE’s ambition to build a secure, transparent, and technologically advanced financial infrastructure. It offers institutions and innovators a resilient digital foundation at a time when blockchain-based finance continues to evolve rapidly.
Strengthening the UAE’s Digital Financial Future
With the global stablecoin market expected to reach trillions of dollars in the coming years, the launch positions the UAE at the forefront of regulated digital finance. The initiative provides a future-ready platform for FinTechs, enterprises, and developers who aim to operate in one of the region’s most advanced financial environments. Additionally, it supports the country’s long-term goal of leading in digital assets, next-generation payments, and financial technology innovation.
