According to ChainCatcher, citing Cointelegraph, Sonic Labs has canceled its plan to launch a dollar-pegged algorithmic stablecoin and instead chosen to develop an alternative stablecoin product priced in UAE dirhams.
Andre Cronje, co-founder of Sonic Labs, confirmed the news on X platform, stating: "We will no longer issue a dollar-pegged algorithmic stablecoin, but will instead issue an alternative related to digital dirhams, which is settled in USD but absolutely not a dollar-based algorithmic stablecoin."
It is reported that the UAE previously announced the launch of its central bank digital currency (CBDC) digital dirham in the fourth quarter of 2025.