Cryptocurrency exchange Binance received approval to operate as a cryptocurrency exchange in Dubai, it said in a press statement. The company had obtained a provisional permit in September 2022, media reports said.
The Virtual Assets Regulatory Authority (VARA) of Dubai issued Binance with a Minimal Viable Product (MVP) licence last year, enabling the exchange to create a local bank account in the emirate for the storage of clients’ funds. Because of the MVP licence, the exchange may also provide payment and custody services in addition to operating as an exchange for digital currencies.
In the latest development, the Provisional Licence has been upgraded to an Operational Minimum Viable Product Licence, allowing permitted clients to get access to previously restricted services.
Binance has cleared three of Dubai’s four licencing stages and is now only waiting for the Full Market Product (FMP) licence. Upon showing compliance with all applicable rules and regulations, the company will likely be given this licence.
Thanks to clear laws and regulatory framework, Dubai has emerged as a favorite destination for crypto firms. Binance is among many top-tier crypto entities that have set up a base in the gulf kingdom. Besides Dubai, Kong Kong is also attracting crypto businesses in large number due to its pro-crypto policies.
