Richard

World

Dubai

<p>Global cryptocurrency exchange, Binance has secured an operational licence from Dubai’s Virtual Asset Service Provider (VASP) that will allow the platform to target retail clients in addition to qualified and institutional ones to operate in the country.</p> 
<p>According to a statement by the company, the licence will allow the crypto company to extend beyond spot trading and fiat services as well as expand its services to retail investors by offering margin trading products for qualified users and staking products. This is part of a move to accelerate the adoption of digital assets and solidify the reliability of the UAE’s regulatory environment.</p> 
<p>The VASP licence follows the operational&nbsp;minimum viable product<a href="https://www.thenationalnews.com/business/cryptocurrencies/2023/07/31/binance-secures-mvp-licence-from-dubai-virtual-asset-regulator/" target="_blank" rel="noreferrer noopener"> licence </a>given to Binance in July 202<a href="https://www.thenationalnews.com/business/cryptocurrencies/2023/07/31/binance-secures-mvp-licence-from-dubai-virtual-asset-regulator/" target="_blank" rel="noreferrer noopener">3</a>, which allowed it to provide exchange and broker-dealer services in Dubai.</p> 
<p>The licence “notably amplifies our unwavering commitment to advancing the financial landscape through compliance and innovation”, Richard Teng, chief executive of Binance said. The CEO also promised that Binance will continue to promote “transparency, regulatory compliance and responsible growth in the dynamic digital assets domain”.</p> 
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   Richard Teng, chief executive of Binance.
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<p>Binance’s Vasp licence comes after Cro Dax Middle East, the Dubai-based subsidiary of cryptocurrency exchange Crypto.com,&nbsp;also secured a full<a href="https://www.thenationalnews.com/business/money/2024/04/09/cryptocom-secures-full-operational-licence-in-dubai/" target="_blank" rel="noreferrer noopener"> operational licence</a> last week. The licence will allow the exchange to launch&nbsp;crypto services to institutional and retail investors&nbsp;in the UAE and the broader Middle East, Singapore-based&nbsp;<a href="https://crypto.com/company-news/crypto-coms-dubai-entity-receives-full-operational-approval" target="_blank" rel="noreferrer noopener">Crypto.com</a> said on Tuesday.</p> 
<p>Similar: <a href="https://technext24.com/2024/04/04/nigeria-arraign-binance-laundry-35m/"><strong>Nigeria arraigns detained Binance executive for money laundry of over $35m, family pleads for release</strong></a></p> 
<h5 id="dubais-positive-slant-towards-crypto-trading" class="wp-block-heading">Dubai’s positive slant towards crypto trading…</h5> 
<p>The UAE has recognised the need to attract stable and long-term investments in the digital assets space. Dubai and the UAE have launched several initiatives to increase adoption as it positions itself to become a leader in the economy of the future.</p> 
<p>In March 2022, the emirate adopted a law to regulate virtual assets to support investors and streamline the offerings from exchanges. It also set up a&nbsp;Dubai Virtual Asset Regulation Law to create an advanced legal framework to protect investors, provide international standards for the virtual asset industry management and enable responsible business growth.</p> 
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   Sheikh Mohammed bin Rashid
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<p>At that time, Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai explained that the Dubai Virtual Asset Regulation Law is aimed at creating an advanced legal framework to protect investors and provide international standards for virtual asset industry governance that will promote responsible business growth within the emirate.</p> 
<p>“The future belongs to whoever designs it … and today, through the virtual assets law, we seek to participate in the design of this new and rapidly growing global sector. We established an independent authority to oversee the development of the best business environment in the world for the virtual assets in terms of regulation, licensing, governance and in line with local and global financial systems,” he said on Twitter.</p> 
<p>One of the important features of the Law was the establishment of&nbsp;the Dubai Virtual Asset Regulatory Authority (VARA) to regulate the sector throughout the emirate, including special development zones and free zones, but excluding the Dubai International Financial Centre.</p> 
<p>In February last year, VARA issued fresh regulations following a series of scandals that rocked the global cryptocurrency space after the collapse of large platforms such as Celsius, Three Arrows Capital and FTX, led by Sam Bankman-Fried.</p> 
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   The Dubai World Trade Centre…
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<p>The regulations aimed to offer certainty and greater clarity on the expected operator responsibility and mitigate market risks.</p> 
<p>With such licenses, the UAE is establishing itself as&nbsp;one of the next high-growth crypto capitals of the world, with institutional investors, hedge funds and financial majors moving in and setting up operations, also bringing along talent.</p> 
<p>And, the impact of the moves is already being seen. According to a recent report by blockchain data company, <a href="https://www.thenationalnews.com/business/money/2024/03/16/uae-cryptocurrency-investors-realised-gains-worth-204m-in-2023/" target="_blank" rel="noreferrer noopener">Chainalysis</a>, investors in the Emirates realised capital gains worth about $204 million from cryptocurrency investments last year, The global cryptocurrency investor community achieved total gains worth $37.6 billion within the same period.</p>

Binance secures operational licence in Dubai

Technext.ng

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