In a move set to transform the digital finance landscape in the Gulf region, ARP Digital, a Bahrain-based digital asset firm licensed by the Central Bank of Bahrain (CBB), has announced a strategic partnership with stc Pay, one of the Middle East’s leading digital financial services brands.
The collaboration aims to establish a regulated stablecoin settlement network, enabling secure, transparent, and efficient cross-border payment and conversion between digital assets and traditional currencies across key corridors in the GCC and beyond.
Building a Regulated Bridge Between Digital and Traditional Finance
Under the new agreement, ARP Digital will serve as stc Pay’s settlement and digital asset conversion partner across the Gulf Cooperation Council (GCC), while stc Pay will act as ARP’s terminating and collection partner in multiple international payment routes.
This partnership represents a critical step toward building the infrastructure needed for regulated stablecoin transactions, providing financial institutions and fintechs with access to compliant digital settlement solutions. The move reflects a broader shift in the region toward regulated blockchain-based finance, aligning with global trends in financial innovation and transparency.
“This partnership is about building real-world connectivity,” said Abdulaziz Kanoo, Co-Founder of ARP Digital. “By combining ARP’s regulated settlement infrastructure with stc Pay’s strong regional presence, we are expanding access to efficient cross-border rails that bring the transparency and value of digital assets closer to real economies.”
Kanoo noted that the collaboration underscores ARP’s mission to develop interoperable settlement infrastructure that links digital assets with traditional financial systems—bridging innovation with compliance.
Enabling Stablecoin Adoption Across High-Volume Corridors
Stablecoins, digital tokens pegged to fiat currencies like the U.S. dollar, have emerged as one of the most practical blockchain applications for cross-border payments. Their ability to provide instant, low-cost, and transparent transactions makes them ideal for regional remittance and trade corridors—especially in markets where traditional banking systems can be slow or expensive.
Through the ARP–stc Pay partnership, financial institutions in the Middle East will gain access to regulated settlement and conversion tools, reducing friction in cross-border payments while ensuring adherence to anti-money laundering (AML) and know-your-customer (KYC) standards.
The initiative also positions Bahrain and Saudi Arabia as potential regional hubs for compliant stablecoin activity, leveraging Bahrain’s progressive regulatory framework under the CBB and stc Pay’s strong digital payments infrastructure in the Kingdom of Saudi Arabia.
A Step Forward for Financial Inclusion and Innovation
This partnership arrives at a time when the Middle East’s fintech ecosystem is accelerating rapidly, with regulators in Bahrain, the UAE, and Saudi Arabia promoting frameworks for digital asset innovation. ARP’s regulated infrastructure ensures that businesses and institutions can safely interact with digital assets, while stc Pay’s regional network ensures accessibility for millions of consumers and enterprises.
By connecting digital asset infrastructure with established payment systems, the collaboration aims to enhance financial inclusion, especially for small businesses and individuals who rely on cross-border transfers. The partnership could pave the way for faster remittance settlements, reduced transaction costs, and more transparent financial flows—addressing longstanding challenges in international payments.
Strengthening Bahrain’s Role as a Blockchain Pioneer
Bahrain has positioned itself as one of the most forward-thinking regulators in the MENA region when it comes to digital assets. The Central Bank of Bahrain’s Category 3 Crypto-Asset Services license allows firms like ARP Digital to offer regulated digital custody, settlement, and conversion services—creating a compliant environment for blockchain innovation.
Through its partnership with stc Pay, ARP Digital is furthering that vision by demonstrating how stablecoin technology can operate within existing financial systems, not outside them. The result is a framework that balances innovation with consumer protection, an approach increasingly favored by regulators worldwide.
Expanding a Global Network of Partnerships
The collaboration with stc Pay is part of ARP Digital’s broader global strategy to build interoperable stablecoin settlement rails connecting banks, fintechs, and payment service providers across multiple jurisdictions.
The firm has been actively developing partnerships that enable cross-border interoperability, ensuring that institutions can move between fiat and digital currencies seamlessly, without compromising compliance or security.
“This is only the beginning,” Kanoo added. “We’re working to create a truly connected ecosystem where digital asset settlement becomes as reliable and regulated as traditional finance.”
The Future of Stablecoin Settlement in the Middle East
The partnership between ARP Digital and stc Pay signals a new era for blockchain-powered financial infrastructure in the Middle East. By merging ARP’s expertise in regulated digital settlements with stc Pay’s extensive regional footprint, the collaboration could redefine how cross-border transactions are conducted—making them faster, cheaper, and more transparent.
As demand for stablecoin and digital asset solutions grows, both companies are well-positioned to lead the region’s transition toward next-generation financial services. With the Middle East emerging as a hub for digital finance innovation, the ARP–stc Pay partnership represents a crucial milestone in building the foundation for secure, regulated, and efficient digital asset ecosystems across the region.
