Bahrain licenses a stablecoin issuer and writes a standard for it

The Central Bank of Bahrain has introduced regulations for stablecoin issuers that build in Sharia compliance requirements. Fitch Ratings called the framework pioneering, citing explicit references to AAOIFI standards and mandatory independent Sharia advisers. The rules cover fiat-backed tokens in dinar, dollars and other currencies, and require transparent treatment of yield-bearing stablecoins so they align with Islamic finance principles. Analysts see it positioning Bahrain as a GCC digital-finance leader and attracting institutions seeking faith-aligned products, though execution and cybersecurity will decide the outcome. Fitch's global head of Islamic finance described it as governance foresight in setting clear guidelines for conventional and Sharia-compliant digital assets.

This is a QeRN summary by Ahmed Qerni. Read the original at Gulf News: https://gulfnews.com/your-money/cryptocurrency/bahrain-new-stablecoin-standard-to-fuel-islamic-fintech-gcc-crypto-growth-1.500189896.