Binance receives green light for crypto services in Dubai

Crypto exchange Binance has received a minimum viable product (MVP) license from the Dubai Virtual Asset Regulatory Authority (VARA), which will allow the crypto exchange to offer a variety of virtual assets to qualified retail and institutional investors, the company announced on Tuesday.

The development follows the issuance of a provisional license in March, allowing the company to set up an office in the United Arab Emirates to provide digital asset exchange services to pre-qualified investors and financial institutions.

Under the new license, Binance will be able to offer a variety of virtual asset-related services to qualified retail and institutional investors under the legal framework for Virtual Asset Service Providers (VaSPs).

It also allows the company to use local banking channels and offer open cash accounts, virtual-fiat currency conversions, asset transfers, custody and management, as well as token issuance and trading services.

Binance founder and CEO Changpeng Zhao (CZ) commented in a statement.

“We strongly believe there is a great opportunity to work with our industry peers to develop consistent implementation standards around the world, as we have done in Dubai.”

Binance’s actions suggest that it intends to further expand its presence in the Middle East. In March, the exchange received a license to operate in Bahrain, offering crypto services including custody, trading and portfolio management.

Founded in March 2022, Dubai’s Vara is responsible for licensing and regulating virtual asset providers in the emirate and free zone territories. Local authorities granted a provisional license to CryptoCom and issued a license to FTX’s regional headquarters.