Gibraltar and Abu Dhabi-based foundation explore stablecoin project to turn Gib into ‘digital bridge’ between Europe, Africa and the Middle East 

The Government and the Abu Dhabi-based ADI Foundation have signed a Memorandum of Understanding to explore establishing a consortium in Gibraltar to develop digital currencies linked to sterling, the US dollar and the euro. 

The proposal, which would involve Gibraltar-licensed banks and other institutions, with ADI Chain providing the infrastructure for issuing the currencies, aims to build a “digital bridge” from Gibraltar to Europe, the Middle East and Africa. 

Each participant would have a separate issuing entity and matching reserves in liquid assets denominated in its reference currency, with independent checks and annual audits.  

The Minister for Justice, Trade and Industry, Nigel Feetham, signed the agreement during a visit to the United Arab Emirates this week as part of efforts to attract international business and broaden Gibraltar’s economic base. 

The proposed consortium would support payments between institutions, cross-border transfers and international trade.  

The parties will explore locating its management, operations and compliance functions in Gibraltar. 

Any issuance would depend on commercial viability, founding members joining and the necessary regulatory approvals.  

“This is bigger than launching another stablecoin,” said ADI Foundation’s Principal Council Member, Ajay Bhatia. 

“Our ambition is to explore building a regulated financial infrastructure that allows digital money to move seamlessly between institutions, markets and economies.” 

“Gibraltar brings a sophisticated financial ecosystem and pioneering experience in DLT, while ADI brings the infrastructure and international network.” 

“Together, we are exploring building the foundations for a new digital settlement bridge connecting Europe, the Middle East and Africa.” 

The proposal also builds on ADI Foundation’s joint venture with the African Continental Free Trade Area Secretariat to develop digital trade infrastructure across its member states. 

“For the past nine months, we have been actively engaged in an international outreach programme, connecting with leading digital-finance businesses and investors, including at major industry events around the world,” Mr Feetham said.  

“Our aim has been clear, to strengthen Gibraltar’s position at the forefront of digital innovation.” 

“The Stablecoin Project represents an exciting opportunity for Gibraltar and is another important step in our efforts to foster innovation and attract investment.” 

“It builds on recent legislative initiatives, including a world-first bespoke prediction market regime and legislation facilitating tokenised fund shares and DLT-based share registers, alongside further legislative developments currently underway, and reinforces Gibraltar’s position as a leading international centre for the digital economy.” 

In a statement issued on Wednesday, the Government said closer links with the UAE could help attract investment, develop business relationships and diversify Gibraltar’s economy. 

It described Abu Dhabi as a major international investment centre with strong connections across the Middle East, Europe and Africa, and said the partnership offered opportunities to connect Gibraltar’s financial services expertise with international digital financial infrastructure and new markets. 

“Our ambition is to build on Gibraltar’s strengths as an international financial centre and develop its role as a bridge connecting the Middle East, Europe and Africa,” Mr Feetham added. 

“During this visit, I am meeting investors, regulators and institutions as part of my Ministerial international outreach programme.” 

“I am also exploring opportunities to improve access to credit card facilities in Gibraltar.” 

Mr Feetham linked the outreach to efforts to reduce Gibraltar’s dependence on business focused on the UK market. 

“These initiatives are about building a more diversified and resilient economy, broadening our international reach and reducing our reliance on UK-facing business, especially following the impact of the UK gambling tax, so that Gibraltar’s future prosperity is supported by opportunities across a wider range of international markets,” he said. 

The ADI Foundation describes itself as “an institutional gateway enabling public and private sector organizations to adopt blockchain technology through purpose-built, policy-aligned infrastructure, expanding financial access for underserved communities globally.” 

ADI collaborates with leading global institutions including BlackRock, Mastercard, M-Pesa, Visa, and Franklin Templeton and is headquartered in Abu Dhabi Global Market, the world’s first jurisdiction with a bespoke digital asset framework.  

ADI was founded by Sirius International Holding, the technology-focused subsidiary of International Holding Company, a large Abu Dhabi-based investment conglomerate with close links to the emirate’s ruling family.