AlloyX, a digital-asset infrastructure firm owned by Nasdaq-listed Solowin Holdings, has entered into a partnership with Bahrain FinTech Bay as it moves closer to launching a regulated stablecoin in the Gulf state, positioning itself to tap growing institutional interest in compliant blockchain-based payments.
The collaboration will allow AlloyX to work within Bahrain FinTech Bay’s ecosystem of financial institutions, fintech startups and technology providers to develop and test potential use cases for stablecoins, including cross-border payments, settlement, and tokenised financial services.
Financial terms of the agreement were not disclosed.
The partnership comes as AlloyX is pursuing regulatory approval from Bahrain’s authorities ahead of a planned market launch.
The company did not provide a timeline, indicating that the initiative remains in a preparatory phase rather than an operational rollout.
Bahrain has emerged as one of the more active jurisdictions in the Middle East seeking to regulate digital assets and attract fintech investment.
The Central Bank of Bahrain introduced a regulatory framework for stablecoin issuance in 2025, part of broader efforts to integrate blockchain-based financial services into the country’s banking system while maintaining oversight of reserve management, governance and consumer protection.
For AlloyX, the move reflects a strategy to anchor its expansion in regulated markets at a time when global policymakers are tightening scrutiny of stablecoins following concerns over reserve transparency, liquidity risks and their potential impact on financial stability.
The company operates across stablecoin payments, tokenisation services, digital brokerage and on-chain financial infrastructure, targeting institutional clients looking to connect traditional financial systems with blockchain networks.
AlloyX became part of Solowin Holdings last year, giving the parent group a foothold in digital asset infrastructure as it diversifies beyond traditional financial services.
Bahrain FinTech Bay, founded in 2018 and now a subsidiary of the BENEFIT Company, serves as a national fintech hub linking regulators, banks, corporates and startups.
The organisation runs acceleration programmes and innovation initiatives designed to support early-stage testing and commercial deployment of new financial technologies.
The partnership underscores intensifying competition among financial centres in the Gulf and Asia to attract digital asset issuers, particularly those focused on regulated stablecoins aimed at institutional and cross-border use rather than retail speculation.