The United Arab Emirates has approved its first U.S. dollar-pegged stablecoin under a formal central bank framework, marking a new step in the country’s approach to regulating digital payment tokens. The Central Bank of the UAE registered USDU, a USD-backed stablecoin issued by Universal Digital Intl Limited, under the Payment Token Services Regulation. The approval makes USDU the first stablecoin recognized by the central bank as a registered foreign payment token, according to the issuer.