Binance updated the approval in principle it obtained from the Abu Dhabi Global Market Financial Services Regulatory Authority (ADGM) (the FSRA) in April. The world’s largest crypto ecosystem received Financial Services Authorization (FSP) today at the International Financial Center in the capital of the United Arab Emirates.
FSP approval will allow Binance to provide custody to professional clients, provided they meet the conditions set by the FSRA. As such, this milestone helps broaden the brand’s outlook and business assessment as it seeks to capitalize on the region’s interest in cryptocurrencies.
Ahmed Jasim Al Zaabi, Chairman of ADGM, said, “We congratulate Binance on getting PSPs to offer their products and services in the MENA region. Our robust and transparent regulatory framework for virtual assets is the backbone of ADGM’s strategy to foster a trusted and well-regulated environment. We look forward to supporting Binance’s operations and R&D in ADGM to develop solutions for the Web3.0 economy.
Dominic Longman, Senior Executive Officer of Binance (AD), said, “Receiving this license is a crucial step in Binance’s growth in Abu Dhabi, and a reflection of the city’s progressive stance on virtual assets. We are excited to continue to strengthen our symbiotic relationship with ADGM and the City of Abu Dhabi and look forward to providing institutional investors with a secure and reliable platform for their virtual asset businesses. This is just the beginning for Binance Abu Dhabi and we hope that as our team grows and develops, the local blockchain landscape will grow as well.
Prior to this, Binance had obtained an “in-principle” decision, which was the first step in the full authorization process by which the applicant must satisfy the ADGM on one or more requirements. The original license allowed the crypto giant operate as a broker-dealer in digital assets.
As Binance has met all the conditions of the IPA and received its Financial Services Authorization (FSP), it will be able to offer its services to customers outside of the GCC region, as well as to the GCC region. CCG currently served. In addition to serving a wider range of customers, ADGM FSRA’s FSP will allow Binance to list a greater number of virtual asset pairs provided they meet the accepted virtual asset criteria defined by the FSRA. .
Abu Dhabi has one of the most sophisticated regulatory frameworks for digital assets bring clarity to entrepreneurs and their customers. When it comes to the fintech landscape in the Middle East, the UAE in particular is already showing strong signs of support for fintech, along with some early success stories.
While continuing to focus on regional expansion, Binance’s pursuit of an IPA (and eventual FSP) is its third approval in the Middle East region after Bahrain and Dubai, the second-largest city in the United States. United Arab Emirates after Abu Dhabi.
The new endorsement also comes as Binance is trying to raise its regulatory profile around the world, as part of an attempt to undo regulatory red flags and reinvent itself as a regulated financial firm.