Binance Secures Comprehensive Crypto License in Dubai: A Major Milestone
In a groundbreaking development for the cryptocurrency industry, Binance has achieved a major milestone by securing a comprehensive crypto license in Dubai. This significant win comes after Binance co-founder Changpeng Zhao made the decision to give up his voting control locally, paving the way for the Virtual Asset Service Provider (VASP) permit to be granted to Binance FZE in Dubai.
Despite facing regulatory challenges and a substantial fine in the US, Binance was able to clinch the VASP license from the Virtual Assets Regulatory Authority (VARA) in Dubai. This achievement now allows Binance to expand its services in Dubai, catering to both institutional clients and individual traders. In an interview with Bloomberg, Binance CEO Richard Teng highlighted the importance of this milestone for the leading digital asset exchange.
To meet the requirements for the full license, Changpeng Zhao had to surrender his voting rights in Binance FZE, in line with regulations set by US authorities. With this hurdle overcome, Binance underwent a thorough evaluation of its offerings by VARA. Following Zhao’s departure, Richard Teng assumed leadership at Binance, emphasizing a strong commitment to regulatory compliance and fostering positive relationships with regulators globally.
While competitors like OKX and Crypto.com had already obtained VASP status in Dubai, Binance’s license now allows the company to tap into a broader customer base. Binance’s Dubai branch had been operating under interim Operational MVP licenses since mid-2023, and with the VASP license in hand, the company can now cater to retail clients, signaling the mainstream adoption of crypto trading in Dubai.
As Binance continues to expand its presence, discussions are underway regarding the formal headquarters for the company. Richard Teng has proposed exploring various jurisdictions to establish a global base for Binance’s operations, further solidifying its position as a key player in the cryptocurrency industry.
