The Abu Dhabi authorities granted further regulatory clearance to the world’s largest cryptocurrency exchange, Binance, allowing it to offer custody services to a professional clientele.
The Financial Services Regulatory Authority of Abu Dhabi (FSRA), a body under the Abu Dhabi Global Market (ADGM), gave Financial Services Permission (FSP) to the biggest cryptocurrency exchange in the world.
With the FSP, Binance will be authorized to provide custody services to professionals, provided that the cryptocurrency exchange complies with the FSRA’s FSP standards.
Dominic Longman, the senior executive officer of Binance Abu Dhabi, commented on the most recent news.
“Obtaining this license is a pivotal step in the growth of Binance 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 activities,” said Longman.
Additionally, Ahmed Jasim Al Zaabi, the chairman of the ADGM, commended Binance on receiving the FSP authorization and declared that the regulatory authority would endorse the cryptocurrency exchange’s research and development (R&D) initiatives in the ADGM aimed at creating options for Web3.
Binance’s FSP represents the company’s second FSRA clearance from ADGM. Binance has already obtained an in-principle clearance for an FSP, allowing the world’s largest cryptocurrency exchange to function as a broker in digital assets.
With a special emphasis on the United Arab Emirates, Binance is continuing to grow its involvement in the Region. The massive cryptocurrency exchange has obtained regulatory certification from regulatory bodies in Dubai in addition to Abu Dhabi.
Many crypto enterprises have been drawn to the region by Dubai’s welcoming crypto policies. A number of cryptocurrency exchanges, including the troubled FTX, ByBit, and Crypto.com, got permits to conduct business in Dubai and made plans to establish regional headquarters there.
Changpeng Zhao, the CEO of Binance has also shown individual interest in the area, saying in March 2022 that Dubai could serve as his residence in the near future, although he would be spending time in other cities as well.