Stablecoin Set to Reshape Payments in the UAE as e& Tests AE Coin

The United Arab Emirates is taking a significant step toward modernizing its digital payments landscape as e& begins testing the stablecoin AE Coin within its digital services, a move that could reshape how electronic payments are made nationwide.

This development follows a memorandum of understanding between e& and Al Maryah Community Bank to explore integrating the stablecoin, which is pegged to the UAE dirham and licensed by the central bank, ensuring regulatory compliance and monetary stability.

The initiative aligns with the UAE’s broader push to adopt blockchain-based financial solutions.

Hatem Dowidar, Group CEO of e&, stated that the stablecoin enables instant settlement, full transparency, and a seamless payment experience.

Meanwhile, Mohamed Wasim Khayati, CEO of Al Maryah Community Bank, described the project as a step toward expanding real-world use cases for regulated virtual assets.

During the pilot phase, e& will assess integrating AE Coin across its payment ecosystem, allowing customers to pay bills, top up prepaid lines, manage postpaid accounts, and access the company’s digital platforms and smart services.

Analysts believe that if successful, the trial could pave the way for wider adoption of regulated digital-asset payments, reinforcing the UAE’s position as a regional hub for financial innovation and accelerating the shift toward a fully digital economy.