Circle, the issuer of the second largest stableecoin, USDC, said it received a principled legislative approval from Abu Dhabi and paved the way for an extension over the Middle East.

Financial Services Regulatory Authority (FSRA) for Abu Dhabi Global Market (ADGM) awarded the company the preliminary green light to serve as a money provider who edited closer to a full license after incorporating the financial hub last last year.

The approval “promotes our strategy to establish deep roots in markets that embrace the onchain economy, creating new ways for investment and innovation in the region,” Circle CEO Jeremy Allaire said in a statement on Tuesday.

The company also announced a partnership with HUB71, Abu Dhabis Tech -Ecosystem, which includes initiatives in ADGM’s digital regulatory sandbox, subsidies for starting pins and provides access to institutional networks.

The company did not comment on further plans in the region due to a “quiet period” after filing papers in the United States to be listed as a public company, a spokesman said.

Stableecoins, which are cryptocurrencies linked to Fiat currencies such as the US dollar, is a fast-growing group of digital assets and an important piece of infrastructure in the blockchain-based economy. They are widely used for crypto trading and are becoming increasingly popular in the daily finances of payments and transfers as a cheaper and faster alternative to traditional banking systems. The total stableecoin market value is around $ 230 billion, according to Rwa.xyz -Data.

Read more: StableCeCons could bring ‘Chatgpt’ Moment to Blockchain Reconciliation, hit $ 3.7T in 2030: Citi

Circle’s flagship USDC -Token, fully reserved for dollar assets such as government bonds, is a key player in this field with a delivery of $ 62 billion, over 40% by 2025.

As the rules on stableecoins go on globally, the company is entitled to global jurisdictions to enter. Circle claimed to boast rights as the first major stableecoin issuer to comply with the European Union MICA rules last year. It also launched USDC last month in Japan with SBI Holdings.

Last week, Circle revealed a cross-border payment network to further increase stablecoin use.