In a significant move towards regulating the use of stablecoins in the United Arab Emirates (UAE), the country's central bank has approved a new licensing system. This development was confirmed by Kokila Alagh, founder of KARM Legal Consultants, who explained that the regulations outline the process for issuing, licensing, and overseeing dirham-backed payment tokens. This move is expected to bring more clarity and oversight to the use of stablecoins in the UAE's financial landscape.