Abu Dhabi, United Arab Emirates – In a landmark step towards developing the digital government infrastructure in the region, AE Coin has been adopted as a payment method by all federal government entities, making it the first regulatory-licensed stablecoin allowed to be used for paying government fees nationwide.

This approval represents an important milestone in the UAE’s journey towards building a fully integrated and future-ready digital economy, as it will allow individuals and institutions to pay government service fees using AE Coin, the first payment token licensed by the Central Bank of the UAE, and fully backed by UAE Dirhams via the AEC Wallet provided by the local Al Maryah Bank.

This announcement confirms the UAE’s leading global position in the field of organized innovation for digital assets, and reinforces its commitment to building a secure, efficient, and technologically enhanced government system.

Unprecedented regional achievement in the field of government payments

To implement this accreditation, Commercial Bank of Dubai (CBD), Abu Dhabi Islamic Bank (ADIB), and Network International each signed separate Memoranda of Understanding with the local Al Maryah Bank.

These agreements establish the banking infrastructure necessary to enable AE Coin payment transactions across federal ministries and agencies and government service delivery channels.

These memoranda were officially announced in the presence of His Excellency Saeed Rashid Al Yateem, Assistant Undersecretary of the Ministry of Finance for the Budget and Government Revenue Sector, during the Abu Dhabi Financial Week (ADFW) events, a suitable platform to highlight this achievement that puts the UAE at the forefront of adopting Web3 technologies at the institutional level and digital transformation in the government sector.

This collaboration between leading national banks and a central bank-licensed payment token issuer demonstrates the ability of traditional financial institutions and regulated virtual assets to work together to develop a government payments system in a manner consistent with the highest standards of security and compliance.

Through this pioneering framework, AE Coin becomes the first officially recognized stablecoin for direct use in paying government fees, creating a seamless bridge between blockchain-based regulated digital value and essential government services, and enabling the secure and efficient flow of digital payments at the national level.

Advanced model of smart services

His Excellency Saeed Rashid Al Yateem, Assistant Undersecretary of the Ministry of Finance for the Budget and Government Revenue Sector, said: “The adoption of AE Coin as a payment method for all federal government entities represents a strategic step that consolidates the UAE’s position as one of the most advanced countries in building an integrated financial and digital infrastructure. The integration of this licensed digital currency, fully backed by the UAE dirham, into the government collection system reflects the country’s ability to employ advanced technology, foremost among which is blockchain technology, to develop more efficient and reliable services.”

His Excellency added: “This digital transformation reinforces the government’s vision of accelerating revenue collection processes, reducing operational costs, and simplifying reconciliation and auditing procedures, in addition to providing a comprehensive and accurate view of financial transaction activity at the national level, which enhances the federal government’s readiness to move to more advanced models of smart services. The initiative is also a qualitative leap for users, as it enables them to make payments instantly and at the lowest costs, with the highest levels of protection and security, which enhances financial inclusion and provides more flexible digital payment options. This reflects the UAE’s commitment to supporting the foundations of the digital economy and establishing a world-leading financial innovation environment.”

Mohammed Waseem Khayata, CEO of the local Al Mariah Bank, stated:

"Today's announcement represents a transformative step in the country's finance system and in the digital government journey. Enabling the use of AE Coin to pay federal government fees embodies the power of regulated digital finance in improving public services, simplifying transactions, and accelerating the pace of national innovation. We are proud to work with our partners to support this historic achievement in the UAE's digital transformation journey."

Ramez Rafiq, General Manager of AED Stablecoin LLC , added:

“This achievement represents a pivotal milestone for the virtual asset and payment token sector in the region. AE Coin was designed to enable secure and licensed blockchain payments in everyday life, and its adoption for paying government fees establishes a new standard for real-world use value. This recognition, under the regulatory supervision of the Central Bank of the UAE, reflects how fully licensed and supported digital assets can be safely integrated into the vital national infrastructure.”

Dr. Bernd van Linder, CEO of Commercial Bank of Dubai, stated :

“This partnership reflects our unwavering commitment to supporting the future of payments and fostering meaningful innovation in the UAE. By enabling the acceptance of AE Coin through our subscription network, we are creating new opportunities for businesses and government service providers to offer greater flexibility and convenience to their customers. This initiative is yet another example of the UAE’s efforts to build a secure, inclusive, and digital economy, where modern payment solutions enhance everyday experiences and support the national vision for long-term financial leadership.”

The Memorandum of Understanding was signed on behalf of Commercial Bank of Dubai by Ms. Barbara Riccardi, General Manager and Co-Head of Corporate and Institutional Banking, during Abu Dhabi Financial Week, reaffirming Commercial Bank of Dubai's commitment to building strategic partnerships that support the development of the digital economy.

In this context, Amit Malhotra, Global Head of Retail Banking at Abu Dhabi Islamic Bank, said:

“At Abu Dhabi Islamic Bank, we are proud to be among the first institutions to enable AE Coin payments for government services. This partnership underscores our commitment to digital innovation and supports the UAE’s vision for a future technology-driven economy. By integrating regulated digital assets into our payment infrastructure, we are contributing to the UAE’s leadership in the field of financial technology.”

Murat Chaghri Suzer, Group CEO at Network International, said:

“Enabling the use of AE Coin at the national level is a pivotal step in how regulated stablecoins flow within the UAE economy on a large scale. By expanding its acceptance in everyday transactions, the UAE is setting a global precedent in how blockchain-based payments can be securely implemented in real-world commerce. We are proud to support this integrated system through our payments infrastructure, contributing to the secure and seamless acceptance of AE Coin by businesses and consumers across the country.”

This supportive approach to payment innovation comes within the UAE’s broader vision of building a new generation digital government; a more flexible and integrated government across channels, where blockchain technology plays a key role in enabling it under clear and sophisticated regulatory oversight.

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