United Arab Emirates retailers begin accepting DDSC stablecoin payments in pilot project

DSSC and Network International launch the first physical store stablecoin payment pilot in United Arab Emirates

DSSC and Network International collaborated to launch the country's first physical store payment pilot project in United Arab Emirates based on a stablecoin licensed by the central bank and anchored by the United Arab Emirates Dirham (AED). This initiative allows customers to use DDSC to consume at designated retailers through existing sales terminals (POS machines).

Pilot details and cooperation mechanism

This pilot has been officially launched in many Marks & Spencer and LuLu stores in United Arab Emirates. Customers participating in the pilot can use digital wallets that support this feature to scan QR codes and complete DDSC payments through Network International's existing payment infrastructure. Merchants can choose to receive DSSC or settle in United Arab Emirates dirhams according to the pre-agreed settlement arrangements.

According to a press release issued on September 9, the pilot has been launched first at Al-Futtaim's Marks & Spencer branch in Dubai Festival City and at LuLu Hypermarket in Khalidiyah Mall in Abu Dhabi. Users with compatible wallets can use DDSC to make payments, while participating merchants can choose to collect stablecoins directly or receive dirham settlement.

DSSC maintains a 1:1 pegged ratio to United Arab Emirates dirhams and runs on the ADI Chain blockchain. The stablecoin was jointly developed by International Holding Company, First Abu Dhabi Bank (FAB) and Sirius International Holding.

Leverage existing retail terminals for seamless integration

This pilot does not require merchants to install additional checkout systems, but instead directly leverages Network International's existing payment infrastructure. When a customer selects the DSSC payment method at checkout, the sales terminal device will generate a QR code that the customer can scan through the supported wallet. After the transaction is completed, Network's acceptance network will send a confirmation message to the merchant.

The settlement method depends on the specific agreement reached between the merchant and the platform. Companies can choose to deposit DSSC directly into supported wallets or require transactions to be settled in United Arab Emirates dirhams. Network International plans to extend its DSSC acceptance to the entire United Arab Emirates merchant network after testing is completed. It is reported that the company has more than 240,000 merchants and more than 250 financial institution partners in more than 50 countries around the world.

Murat Cagri Suzer, CEO of Network International Group, said the company expects the integration to provide merchants with more options to accept and settle payments. "Through the partnership with DDSC, Network International merchants will be able to accept DDSC payments and have the flexibility to settle in stablecoins." Suzer said.

Saifee Rupawala, CEO of LuLu Retail, pointed out that the retailer was one of the first companies in the United Arab Emirates to implement this payment option. Eric Shehadeh, director of financial services at Al-Futtaim Group, said that the company processes tens of millions of customer payments from more than 200 brands every year.

The leap from distribution to retail application

The retail test follows the launch of stablecoins earlier this year. Previous reports showed that DDSC was officially launched on ADI Chain in February after obtaining approval and license from the Central Bank of the United Arab Emirates. DDSC is licensed by the Central Bank's Payment Token Services Regulation and is fully supported by segregated asset reserves that comply with applicable regulatory frameworks. Its established application scenarios cover payment, settlement, fund management and other digital financial infrastructure.

First Abu Dhabi Bank provided banking support for the project, while ADI Chain provided the blockchain infrastructure needed for DDSC settlement. ADI Chain will launch its main network in December 2025. It is an institutional Layer 2 network specifically designed for stablecoins and tokenized real-world assets. Before its launch, the network had been selected to host the United Arab Emirates dirham stablecoin. Its native token ADI is used to pay for Gas fees and smart contract execution in networks and related Layer 3 environments.

Currently, the network's activities have expanded to include other tokenization projects. In August, Shipfinex selected ADI Chain for a program involving approximately $500 million in commercial ships. The proposed structure uses a special purpose vehicle (SPV) for a single ship and may use stablecoins denominated in dirhams for token allocation and distribution.

Ajay Hans Raj Bhatia, CEO of Sirius International Holding, described the partnership with Network International as a step towards promoting the use of regulated digital assets in day-to-day transactions. "By enabling dirh-anchored stablecoin DDSC to operate seamlessly through mature payment infrastructure, we are transforming the promise of digital currencies into a real reality for businesses and consumers." Bhatia said.

United Arab Emirates Regulated stablecoins enter mainstream payment channels

As the DDSC enters the retail testing phase, other regulated stablecoins and cryptocurrency payment systems are also gaining access to payment channels in the United Arab Emirates. In May of this year, AE Coin and USD Universal introduced a regulated stablecoin conversion channel that connects AECoin anchored by Dirham to USDU anchored payment token. The system is supported by Al Maryah Community Bank and is designed to serve institutional clearing, fund management and cross-border payments.

USDU is regulated by the Abu Dhabi Global Markets Financial Services Regulatory Authority (FSRA) and registered as a foreign payment token with the Central Bank of the United Arab Emirates. AE Coin received separate central bank approval for its dirh-anchored payment token.

Cryptocurrency payments for retail have begun to penetrate into other industries in the United Arab Emirates. In July, United Arab Emirates launched a cryptocurrency payment feature for flights through Crypto.com Pay, allowing eligible United Arab Emirates residents to pay dirh-priced booking fees through airline websites and apps. Desktop users scan the QR code when checking out, and mobile users approve transactions through their Crypto.com account. United Arab Emirates continues to price and settle booking fees in United Arab Emirates dirhams.

The local entity of Crypto.com received a stored value facility license from the Central Bank in May this year, allowing it to provide regulated payment services in the country. The authorization has also been used to cover scenarios of Dubai government payment arrangements, where settlement can be carried out using dirhams or approved dirhams anchored stablecoins.

For this DDSC pilot, Network International has not announced an expansion schedule beyond the initial participation locations. The company said that after completing the test, acceptance of stablecoins will gradually expand among its United Arab Emirates merchant network.