The approvals provide regulatory framework coverage for exchange operations, clearing house functions, and broker-dealer services.
Crypto News
Binance has secured three separate regulatory licenses from Abu Dhabi's financial authority, enabling the exchange to operate its international platform under comprehensive oversight from the Financial Services Regulatory Authority.
The independent regulator of the Abu Dhabi Global Market approved licenses for Binance's Nest Exchange Limited, Nest Clearing and Custody Limited, and Nest Trading Limited. The approvals provide regulatory framework coverage for exchange operations, clearing house functions, and broker-dealer services.
Richard Teng, Binance co-CEO, stated the licenses offer regulatory clarity that enables the company to support global operations from the ADGM financial free zone. He emphasized the framework provides users with confidence that Binance operates under internationally recognized regulatory standards.
The FSRA framework requires authorized entities conducting regulated activities within ADGM to maintain "mind and management" operations in the zone, including commercial, governance, compliance, surveillance, operations, technical, IT, and HR functions. This requirement suggests Binance could establish a significant operational presence in Abu Dhabi.
Binance currently lacks an official corporate headquarters, which typically determines tax obligations and regulatory compliance requirements. The new licensing arrangement provides the exchange with a regulatory foundation while maintaining its distributed global operations model.
Operating under the ADGM regime adds consumer protections and enhanced regulatory oversight for Binance users. The exchange plans to begin regulated activities on Jan. 5, 2026, following the completion of setup procedures.
Teng described the milestone as one that makes Binance the first global cryptocurrency exchange to secure end-to-end supervision of its international operations and liquidity from a respected financial regulator. The comprehensive oversight covers all aspects of exchange operations under FSRA jurisdiction.
Binance already maintains presence in the United Arab Emirates through its Virtual Asset Service Provider license in Dubai, obtained in April 2024. The company also received a $2 billion investment from MGX, an Abu Dhabi-based artificial intelligence and technology venture firm, in March. The new licenses significantly expand Binance's regulatory footprint in the region beyond its existing Dubai operations.
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