The Government of Gibraltar and the ADI Foundation have signed a memorandum of understanding to explore the creation of a multi-currency stablecoin consortium. This initiative aims to establish fully reserved digital currencies pegged to the sterling, US dollar, and Euro, leveraging ADI Chain as the underlying infrastructure. The consortium would be open to banks and other licensed institutions in Gibraltar, with ownership structured on an equitable basis.
The project focuses on bringing digital money on-chain at an institutional scale, reinforcing Gibraltar's position as a leader in regulated digital financial infrastructure. Gibraltar was the first jurisdiction to introduce a dedicated regulatory framework for distributed ledger technology in 2018. Each digital currency would be issued through a separate entity, with reserves held in high-quality liquid assets denominated in the respective reference currency, subject to annual audits.
The consortium is designed to support institutional settlement, cross-border payments, and international trade, with a longer-term goal of connecting Europe and Africa. This aligns with ADI Foundation's joint venture with the Secretariat of the African Continental Free Trade Area (AfCFTA) to develop digital trade infrastructure. Ajay Bhatia, Principal Council Member at ADI Foundation, emphasized the ambition to build a regulated financial infrastructure that allows digital money to move seamlessly between institutions and economies.
The Hon Nigel Feetham KC MP, Minister for Justice, Trade and Industry, highlighted Gibraltar's international outreach program and its efforts to strengthen its position at the forefront of digital innovation. The project builds on recent legislative initiatives, including a bespoke prediction market regime and legislation facilitating tokenized fund shares and DLT-based share registers. The parties will explore establishing the consortium’s management, operations, and compliance functions in Gibraltar, subject to commercial viability and regulatory authorizations.