Abu Dhabi, UAE — In a global first, Abu Dhabi has introduced a pioneering payment system allowing passengers to pay for taxi rides using AE Coin, a stablecoin fully backed by the UAE dirham. This bold move positions the UAE capital at the forefront of digital finance innovation and signals a new era in smart mobility and cashless transportation.
Seamless Crypto Integration for Public Transport
The new system, rolled out in collaboration with the Integrated Transport Center (ITC), Tawasul Transport, and Al Maryah Community Bank (Mbank), enables passengers to pay using the AEC Wallet app. Riders simply scan a QR code inside Tawasul taxis to complete their transactions securely and instantly.
Unlike traditional cryptocurrencies known for volatile pricing, AE Coin offers price stability by maintaining a 1:1 peg with the UAE dirham, providing users with a sense of familiarity and trust.
“This initiative supports the city’s goal to offer simplified, secure, and flexible payment methods,” said Ghena Jbour, General Manager at Tawasul Transport. “It’s more than just a tech upgrade — it’s a leap toward sustainability and convenience for customers.”
Stablecoin Simplicity Meets Everyday Use
AE Coin’s design prioritizes accessibility and ease of use. By tying the value of the coin to the national currency, Abu Dhabi removes a key barrier to cryptocurrency adoption — price fluctuation.
The AEC Wallet app, available on iOS and Android, empowers users to conduct instant payments without the burden of high transfer fees. This promotes financial inclusion, especially for younger, tech-savvy residents and visitors looking for modern and cost-effective payment options.
With a growing demand for contactless and digital solutions, the crypto-taxi initiative reflects broader consumer trends toward digitized, mobile-first lifestyles.
A Collaborative Model for Real-World Crypto Use
The initiative reflects a successful public-private collaboration that brings together regulators, transport operators, and banking innovators. Al Maryah Community Bank (Mbank), one of the UAE’s digital-first financial institutions, provides the backend financial infrastructure to support secure and compliant transactions.
“We see this as more than a cryptocurrency,” said Mohammed Wassim Khayata, CEO of Mbank. “AE Coin is a key tool in building the foundation for the UAE’s digital economy, enabling real-time, secure payments that go far beyond the transport sector.”
Beyond Taxis: Expanding AE Coin’s Reach
Though taxis are the first use case, AE Coin is already making waves across other industries. UAE-based budget airline Air Arabia now accepts AE Coin for flight bookings, making it one of the first major regional carriers to adopt stablecoin payments.
This development aligns with the UAE’s broader national strategy for digital transformation, which aims to position the country as a leader in blockchain innovation and smart financial services.
According to Mbank, future applications of AE Coin are expected in retail, aviation, hospitality, and government services, with further announcements likely in the coming months.
A Model for Global Adoption?
As countries around the world evaluate how to integrate blockchain technologies into everyday life, Abu Dhabi’s taxi payment initiative may serve as a blueprint for real-world stablecoin applications.
The capital’s efforts reinforce the UAE’s ambitions to create a cashless, digitally connected economy while maintaining regulatory oversight and user security. With AE Coin, Abu Dhabi has not only launched a practical use of cryptocurrency—it has redefined how digital assets can enhance urban living.
Conclusion
With AE Coin now accepted in taxis and expanding into commercial sectors like air travel, Abu Dhabi has taken a decisive step toward mainstream adoption of digital currencies. This landmark move demonstrates how stablecoins can be securely and effectively integrated into daily life, setting a high bar for cities around the globe looking to embrace the future of digital finance.
