I am joined today by Kokila Alagh, a leading technology and corporate lawyer who is also a board member and head of the Middle East Stablecoin Association's Legal and Regulatory Working Group. Kokila, welcome to the show.
Thank you Rachel. It has been an absolute pleasure to be here.
What is MESA trying to achieve that individual firms, issuers, banks or regulators could not achieve on their own?
MESA is a culmination of all the members needed for stablecoin adoption — regulatory insight, lawyers, policymakers, observers from regulatory teams, issuers, custodians, and exchanges. All the players needed for stablecoin adoption to happen — not just within the UAE or MENA but on a global platform — are inside MESA. When it was created, it was one of its kind — a bespoke association dedicated only to stablecoins. It helps the industry get clarity, have dialogue with regulators and lawmakers, and talk to each other. Stablecoins are international by nature and the association needs to grow accordingly.
What are the most critical near-term use cases for stablecoins in the region?
Stablecoins got their genesis in the crypto asset space but are now comfortably sitting next to payment instruments and financial instruments. Even the Central Bank of UAE's regulation did not say stablecoins — it said Payment Token Services Regulation. That is the intersection of the Web3 crypto space into mature financial markets. What we are seeing is the interoperability — cross-border settlements, treasury management, payments, remittances — all accelerating at a speed most regulators globally are now looking at.
Do you think we will see harmonisation of stablecoin regulation across jurisdictions?
Harmonisation is not the ultimate aim. Stablecoins do not need one regulator. They need regulators who can trust one another. A stablecoin could be issued in one jurisdiction, with infrastructure in another, reserves somewhere else, and redemption all over the world. Having one single rule is not achievable and we should not strive for it. What we are going to strive for is cooperation, equivalence, and recognition from one regulator to another. These are global instruments governed by national rules — and we need to solve that puzzle. Interoperable, programmable money moving at bullet speed. That is the reality we are managing.
How does MESA stay credible with commercial members without just cheerleading for the sector?
MESA is a DIFC-incorporated non-profit organisation. We are not a lobby. We have a charter driven by regulations — very clear in terms of the activities we can get involved in, which is education, research, policy dialogue, and advocacy around legitimate usage and adoption of digital assets. We are very passionate about doing the right thing in the right way and helping the world become more aware of the regulatory parameters and how we can enable healthy adoption of stablecoins.
Kokila, that was a fantastic discussion. Thank you so much for joining us today.
Thank you so much, Rachel. Absolute pleasure.
