Binance Holdings Ltd., which operates the crypto industry’s largest exchange by volume, is reportedly undergoing deliberations for a license to operate in Dubai.
In recent reports, Dubai’s World Trade Centre (DWTC) has set out plans to develop a crypto hub, alongside the establishment of an independent authority that will be tasked to commit oversight on crypto firms, as well as set guidance and compliance frameworks for the country’s burgeoning crypto scene. The DWTC has since signed an agreement with Binance to help develop and establish its global presence, both for crypto assets and emerging forms of digital assets such as NFTs.
“We welcome this important development. We continue to work closely with the DWTC to help establish Dubai as a world-class and progressive crypto regulatory environment,” shares Richard Teng, who heads the Middle East and North Africa operations for Binance.
According to an initial report by Bloomberg, Binance is anticipating its accreditation as to operate as a crypto services provider in the Dubai World Trade Centre, where a “free zone” has been established. The news follows a strategic advisory from the European Union, which states that the crypto space has fallen “under the sanctions” for Russian and Belarus.
“Regulatory clarity is so important. This new virtual asset law in Dubai is a great step forward” shares Binance CEO Changpeng Zhao.
Regulatory clarity is so important. This new virtual asset law in Dubai is a great step forward. https://t.co/qIMFjMiSUv
— CZ 🔶 Binance (@cz_binance) March 9, 2022
UAE’s Prime Minister, Sheikh Mohammed bin Rashid Al Maktoum, has been assertive with his prospects of pushing forward the Arab state’s strategic position in the global crypto space, as well as support the development of blockchain technology in the region. In 2018, the Dubai International Financial Center established the “Court of Blockchain” which has since formed a “crypto-friendly” regulatory stance.
Aside from Binance, Dubai’s local crypto firms have also been receiving support from the United Arab Emirates’ regulatory authorities, with BitOasis, the country’s first recognized virtual asset service provider, helping set the pace for its development.
“The UAE is rapidly developing into a global leader for enabling regulation of virtual assets. We are fully committed to playing our role to work with, support and be licensed by regulators across the UAE.” shares Ola Doudin, CEO of BitOasis.
In recent years, Binance has gained notoriety among similar crypto firms in that it claimed to have no official headquarters, shifting its base of operations from time to time. Binance is also reportedly in talks with UAE officials to create and establish a global base of operations in Dubai.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.