First Abu Dhabi Bank (FAB) has signed a Memorandum of Understanding (MoU) with tokenization specialist Libre Capital to launch a pilot program for blockchain-based collateralized lending using real-world asset (RWA) tokens. Under the initiative, approved lenders can use these RWA tokens as collateral for stablecoin lending. Libre, backed by notable firms such as Brevan Howard and Nomura, has issued around $150 million in tokenized assets, including funds from Brevan Howard and BlackRock. The program, termed 'Project HODL,' will see FAB managing liquidity through lending credit lines on public blockchains like Ethereum, Solana, and others. The collaboration emphasizes FAB's commitment to innovation in the financial sector, aiming for secure credit facilities with automated risk management and regulatory compliance.

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