UAE ADGM grants Binance a second In principle virtual license in UAE

UAE ADGM grants Binance, blockchain and cryptocurrency exchange, its second in Principle license in UAE. ADGM has granted an In-Principle Approval (IPA) for a Financial Services Permission (FSP) to operate as a broker-dealer in virtual assets.

ADGM, the International Financial Centre in the capital of the United Arab Emirates (UAE), introduced the world’s first comprehensive and robust virtual asset regulatory framework in 2018 and has since established itself as a leading global hub and business platform for virtual asset activities for local, regional and international organisations.

Dhaher bin Dhaher, CEO, Registration Authority of Abu Dhabi Global Market, said: “We are pleased that Binance has been awarded an In-Principle Approval in the ADGM and are excited to support them as they work towards establishing their foothold and presence in Abu Dhabi, the capital of the UAE.  ADGM is the largest regulated jurisdiction of virtual assets in MENA region and Binance’s participation will add to its vibrant and trusted ecosystem of virtual asset trading venues, global exchanges and service providers. 

ADGM’s virtual asset framework is well recognized globally for its inclusive regulations and robust provisions and it is part of ADGM’s ongoing commitment, as an International Financial Centre, to bolster the economic growth of Abu Dhabi and to uphold the transparency and integrity of the marketplace.  

Richard Teng, Head of MENA for Binance, said: “Binance has been actively engaging global regulators, such as ADGM, as part of its ongoing commitment to uphold global standards and collectively foster the developments and sustainable growth of the crypto ecosystem.  ADGM is the pioneer in introducing robust virtual asset regulatory frameworks to support the growth of the global blockchain ecosystem.  We are grateful for their support during our application process and look forward to working closely with ADGM and other key Abu Dhabi stakeholders for broader deployment of our world-class offerings and services across the whole MENA region and beyond.”

Upon the successful completion of its ADGM FSRA application, Binance will then be able to offer its services regarding virtual asset offerings to customers across the Middle East and North Africa (MENA) region, through its subsidiary Binance (AD) Limited.

This was an anticipated move given that Binance had started to hire for positions for its Abu Dhabi presence over the past month, and was searching for positions related to dealing with regulators such as ADGM.

Binance is the first crypto exchange in the globe with three licenses in the GCC region. Binance now has a license in Bahrain, Dubai and Abu Dhabi.

The UAE is also opening up the country to crypto mining, with the Dubai World Trade Center Authority working on crypto mining regulations.