The Central Bank of Bahrain has introduced a framework for licensing and regulating stablecoin issuers, bringing stablecoin issuance within its supervisory perimeter to support the stablecoins’ integration into the financial system. Under the new Stablecoin Issuance and Offering (SIO) Module in Volume 6 (Capital Markets) of the CBB Rulebook, licensed stablecoin issuers are permitted to issue single-currency stablecoins backed by Bahraini dinar, US dollar, or other fiat currencies acceptable to the CBB. The framework is intended to address risks associated with unregulated stablecoins and to support a safer ecosystem with investor protection measures and market transparency.
Central Bank of Bahrain 2025-07-04
Central Bank of Bahrain issues Stablecoin Issuance and Offering rules to license issuers of fiat-backed stablecoins
The Central Bank of Bahrain has introduced a framework for licensing and regulating stablecoin issuers, integrating stablecoin issuance into its supervisory perimeter. The Stablecoin Issuance and Offering Module permits licensed issuers to issue single-currency stablecoins backed by Bahraini dinar, US dollar, or other CBB-approved fiat currencies. This framework aims to mitigate risks of unregulated stablecoins, enhance investor protection, and improve market transparency.