The modern world is developing in coherence with the concept of crypto and blockchain at a fairly fast pace. However, Dubai has decided to pursue this sector more passionately. Previously, Dubai revealed its future plans of becoming a blockchain and crypto hub. Now, it is making developments for its plan to become a success. The popular state of the United Arab Emirates has tried to link with crypto exchanges and service providers.
Previously, FTX had announced that it will be spreading its wings to the Gulf, aiming to become the leading service provider of the region. In addition to this, Binance has now announced that Dubai has granted it a Virtual Asset License. This will allow the leading global cryptocurrency exchange to operate within Dubai’s test phase of the virtual asset market model.
Dubai plans to expand the use of virtual assets in the region by following the regulations of the Virtual Asset Regulatory Authority (VARA) and by staying compliant with FATF’s instructions. This will ensure more sustainable and secure growth of the sector.
Binance gets a fully governed license from Dubai
Under the license, Binance will be permitted to offer exchange products and services to investors and financial service providers. However, the exchanges that have been granted the license will be monitored by the higher authorities. Binance will also lay the foundation of a blockchain technology hub in Dubai World Trade Centre to create a whole ecosystem of blockchain in the region. This will also help in raising more awareness about the new industry.
The CEO of Binance, Changpeng Zhao has said,
“High standards of regulation and compliance are critical to the development and maturing of the global crypto and blockchain industry, which is why our team has been working tirelessly to demonstrate how we meet and exceed the requirements of regulators such as the Dubai Virtual Asset Regulatory Authority.”
Moreover, Binance carries great pride for being able to acquire this license, as it will propel the growth of the platform. It will also act as a chance for Binance to prove itself in a compliance model. Dubai has become the first global economy to acknowledge the VA sector and regulate it under the VARA model.
Therefore, the inclusion of Binance shows the commitment of the State in building a thorough blockchain ecosystem. Conclusively, this is the start of a new era in Dubai’s economy that will make use of innovation and technology to its maximum potential.
