Coinbase Abandons Wall Street for Abu Dhabi Tokenization Hub
Coinbase has chosen Abu Dhabi as its base for tokenized securities, marking a significant move in the development of on-chain capital markets.
The company has been granted regulatory approval by the Financial Services Regulatory Authority (FSRA) to operate in Abu Dhabi Global Market, where it will offer tokenized Apple shares.
Coinbase's Onchain SPV Ltd, an ADGM special purpose vehicle, issued Apple CB Certificates, representing beneficial interests in Apple common stock. These certificates are backed by the underlying Apple stock and come with shareholder rights, including dividends and voting privileges.
The Abu Dhabi Global Market has a well-established virtual asset framework, dating back to 2018, and its FSRA framework now covers Virtual Assets, Fiat-Referenced Tokens, Digital Securities, derivatives, and digital-asset funds. This regulatory environment makes it an attractive location for Coinbase's tokenized securities push.
The move is seen as a response to the slow pace of regulation in Washington, with Abu Dhabi offering a more streamlined approval process. The company has stated that no major financial center had yet built a framework treating tokenized equities simultaneously as securities, blockchain-native tokens, and DeFi-composable assets.