Popular crypto exchange, Binance, has obtained a preliminary license to operate as a broker of crypto assets in the United Arab Emirates (UAE). Binance must however finish the application procedure first before it can kickstart operation. Having obtained a complete licensing agreement implies that Binance will be supplying virtual currency services to consumers in the Middle East and Northern Africa (MENA)
The United Arab Emirates has proved to be a magnet for cryptocurrency exchanges and initiatives like Binance and FTX in the past months. The United Arab Emirates has proved to be a magnet for cryptocurrency exchanges and initiatives like Binance and FTX in the past months.
Binance Expands Operation To The UAE
A preliminary license has been granted to the world’s biggest cryptocurrency exchange by daily transaction volume, Binance, to provide crypto asset services in Abu Dhabi. The approval is still subject to final approval as Binance has to finish the application procedure to begin operations in MENA (the Middle East and North Africa Region), enabling it to provide crypto asset services to residents of those countries.
According to Abu Dhabi Global Market (ADGM), the cryptocurrency exchange’s debut ‘would contribute fresh vitality to Abu Dhabi’s developing cryptocurrency and blockchain ecosystem,’ which is why the regulatory authority has given its in-principle permission to Binance.
ADGM, located in the middle east, is an internationally acclaimed financial center placed strategically in the United Arab Emirates’ capital. It has won several awards for its work. A total of three autonomous regulatory agencies are established under it: the Financial Services Regulatory Authority (FSRA), the Registration Authority (RA), and the ADGM Courts. The mission of the ADGM is to guarantee that the area has a business-friendly climate that is compliant with global best practices that big financial centers across the globe accept.
Binance Maintains Engagement With International Regulators
In the words of Richard Teng, Binance’s leader of the MENA area and an ex-executive of ADGM, the cryptocurrency exchange firm “has been engaging global regulators like the ADGM, as a part of the company’s ongoing devotion to maintain international standards and jointly promote the growth of the cryptocurrency ecosystem.”
The United Arab Emirates Continues To Attract Cryptocurrency Exchanges
Recently, the UAE has emerged as the ideal destination for cryptocurrency exchange firms and holders alike. FTX got a VASP license from the Dubai Financial Services Authority (DFSA) earlier in the month. Crypto.com and Bybit, two cryptocurrency exchanges based in the United States, are also exploring extending their operations in the region. Changpeng Zhao, the founder and Chief Executive Officer of Binance, has likewise picked Dubai as a preferred location to do business in the future.