The Central Bank of the UAE has approved the issuance of USDU, the country's first US dollar-backed stablecoin, under its Payment Token Services Regulation. Managed by Universal Digital, the stablecoin is pegged 1:1 to US dollar reserves held in secured accounts at onshore banks, including the National Bank of the UAE and Mashreq Bank. This approval marks a significant milestone as it is the first US dollar stablecoin to operate under a central bank's payment regulatory framework. Universal Digital, regulated by the Abu Dhabi Global Markets Financial Services Regulatory Authority, will oversee the issuance of USDU. Aquanow has been appointed as the global distribution partner, facilitating access to USDU for institutions in licensed regions outside the UAE.