WHAT IS ADGM AND WHY IS IT BECOMING THE NEW "CRYPTO HUB"?
Abu Dhabi Global Market (ADGM) is the international financial center of Abu Dhabi, operating under independent common law, with the FSRA regulatory authority considered one of the strictest regulatory standards in the region. ADGM is promoting a strategy to become a global crypto hub, clearly demonstrated by a series of recent licenses:
Circle: licensed as a currency service provider, expanding USDC in the Middle East & North Africa.
Tether: USDT is recognized as a valid fiat-token, allowing licensed organizations to provide USDT services on multiple major blockchains.
Binance: received full licensing (exchange – custody – clearing), operating under the strict supervision standards of ADGM. In the coming time, $BNB will benefit.
Market impact:
Crypto is being "legitimized" at the level of international financial centers, no longer a risky testing ground.
Stablecoins (USDT, USDC) are legalized at the organizational level, opening new liquidity channels for large capital flows.
International exchanges are shifting to the Middle East, reducing dependence on the US – EU amidst fluctuating legal contexts.
Institutional capital flows from MENA have a wider entry into crypto, directly impacting market liquidity.
Conclusion:
ADGM is not only licensing individual companies but is also building a complete legal infrastructure for crypto at the national level. This is a long-term structural move that will directly impact liquidity, stablecoins, and institutional capital flows in the upcoming period.
