In a world-first, Binance, the leading virtual asset exchange, has been awarded an Operational Minimum Viable Product (MVP) License from Dubai’s Virtual Asset Regulatory Authority (VARA). This groundbreaking achievement signifies Binance’s commitment to building a fully compliant exchange in harmony with local regulators.
The license was granted to Binance’s Dubai subsidiary, Binance FZE, allowing the exchange to offer approved services, including broker-dealer and exchange services, to qualified retail and institutional investors. This monumental move is the culmination of Binance’s focused efforts that commenced with obtaining a provisional MVP license in March 2022, followed by a preparatory MVP license in September the same year.
Aiming for nothing short of excellence, Binance has demonstrated its dedication to navigating Dubai’s unique regulatory framework for Virtual Asset Service Providers (VASPs). This accomplishment represents a significant milestone in the virtual asset sector, and particularly for Binance’s global user base.
Richard Teng, Head of Regional Markets at Binance, remarked on this achievement saying, “We are honored to be the first exchange to be granted an operational Minimum Viable Product License by VARA — a result of over a year of due diligence, collaboration, and consistent demonstration of responsible intent. Operating within this regulated ecosystem, we prioritize robust Know-Your-Customer and Customer-Due-Diligence practices as part of the rigorous onboarding process as stipulated by VARA.”
Dubai’s financial ecosystem has been a harbinger of technological innovation, welcoming blockchain with open arms. As a result, Binance believes Dubai’s vision will set the standard for the global industry. With its newly minted license, Binance is set to lead the way in VARA’s virtual asset ecosystem, promising further growth and wider Web3 opportunities in line with the Dubai government’s regulatory regime and guidance.
Alexander Chehade, General Manager at Binance Dubai, expressed his excitement, “The last few years have cemented Dubai as a global virtual asset hub. With this operational MVP license, users can expect access to a trusted and regulated service prioritizing security and compliance.”
Binance’s achievement in securing this license embodies a significant leap toward a future of regulated, secure, and customer-centric virtual asset services. It’s a game-changer for the global virtual asset community, and a testament to Binance’s dedication to work hand-in-hand with regulators in this rapidly-evolving financial technology landscape.
Binance’s licensing journey in Dubai marks a new chapter in the evolution of virtual asset services, not just within the UAE, but also on a global scale. As the company delves deeper into the sector, the future looks promising with increased security, innovation, and scalability that this significant development promises to institutions, retail investors, and the global virtual asset community.
