In Dubai, Binance Exchange has been awarded a functioning license!
Binance, the world’s largest cryptocurrency exchange by trading volume, has obtained an operating license in Abu Dhabi, its third regulatory approval in the Middle East, after Bahrain and Dubai.
Binance’s certification under the Abu Dhabi Global Market Principle (ADGM) enables it to act as an intermediary-seller of digital assets such as bitcoin. This is another big step forward for this cryptocurrency exchange, which intends to operate as a fully regulated entity.
ADGM operates an international free financial zone in the UAE capital and has historically played a significant role in regulating and enforcing the regulatory framework for financial services offered under its authority. In response to Binance’s efforts to get regulatory licenses across the globe, the ADGM declared the following:
“IPA is a key component of Binance’s strategy to establish itself as a well-regulated virtual asset service provider inside a reputable and well-regulated international financial institution.”
Additionally, ADGM said that it intends to issue identical regulatory approvals to domestic and international cryptographic firms to build Abu Dhabi as a fast-growing virtual asset hub and digital economy.
ADGM CEO Dhaher bin Dhaher also commended the move, pledging to assist Bainance’s efforts to strengthen its presence in Abu Dhabi
Apart from Binance, the leading FTX digital currency exchange has been granted permission to operate in Dubai, the UAE’s second-largest city after Abu Dhabi.
On March 22, ADGM released an advisory document recommending that firms regulated by ADGM be authorized to facilitate the trading of non-replaceable tokens (NFTs) in the jurisdiction.
The free zone’s Financial Services Regulatory Authority (FSRA) defined NFTs as intellectual property rather than a particular investment or financial product in ADGM Consulting.
Licensing NFT transactions, on the other hand, will very probably require licensed firms to comply with AML and ADGM sanctions.