Coinbase gains Abu Dhabi license for tokenization hub

Coinbase received Abu Dhabi approval for a securities tokenization hub, offering blockchain-based investment, custody, and full shareholder rights with wallet-only access and integrated compliance.

Coinbase has secured regulatory approval from the Financial Services Regulatory Authority of Abu Dhabi Global Market to launch an international securities tokenization hub. This new hub will allow Coinbase to offer investment matching, custody services, and the issuance of security tokens fully backed by underlying stocks. Token holders will receive shareholder dividends and voting rights, mirroring traditional equity ownership. Investors can participate using only a digital wallet, eliminating the need for conventional brokerage or banking relationships. All transfers will undergo sanctions screening, and assets can be frozen or seized at the wallet level if required, ensuring robust compliance. By leveraging Abu Dhabi’s advanced regulatory framework, Coinbase positions the city as a central jurisdiction in its global tokenization strategy. This move complements Coinbase’s derivatives business in Dubai, establishing two major business hubs in the UAE to expand its onchain capital markets infrastructure beyond the United States.