USDT stablecoin issuer Tether is looking to develop and launch a stablecoin pegged to the United Arab Emirates Dirham [AED].
The asset will be launched in collaboration with local multi-billion dollar tech conglomerate, Phoenix Group. Alongside, Green Acorn Investments will support the initiative.
Each token is fully backed by liquid UAE-based reserves. Tether’s Dirham-pegged token joins its slate of stablecoin products that include USDt, EURT, CNHT, MXNT, XAUT, and aUSDT.
Tether’s main stablecoin, USDT, has its wings spread across several ecosystems. It has been faring well on most of them.
As analyzed in a recent article, Tether’s supply has been growing the fastest on Celo and Avalanche. It currently has an outstanding supply of $230.73 million and $1.34 billion on the aforementioned chains.
According to the team, the AED-backed asset will provide users with a seamless and cost-effective way of accessing the benefits of the AED.
It will additionally help streamline international trade and remittances, bring down transaction fees, and provide a hedge against currency fluctuations.
Paolo Ardoino, the CEO of Tether highlighted that this token is poised to become an essential tool for businesses and individuals looking to sort out payments, trade, or diversify their asset portfolio.
Elucidating on why the UAE’s currency was picked, he explained,
“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.”
Earlier this week, Tether also announced the launch of USDT on the Aptos blockchain. The team emphasized that this integration is part of its broader strategy to make digital currency more accessible and useful to people around the world.
