Cryptocurrency exchange Binance has received a Minimum Viable Product (MVP) license from the Dubai Virtual Assets Regulatory Authority (VARA), allowing the exchange to offer a range of virtual asset services to qualified retail and institutional investors, the company announced on Tuesday.
The development followed a provisional license issued in March that allowed the company to open an office in the United Arab Emirates and provide digital asset exchange services to pre-qualified investors and financial firms.
With the new authorization, Binance will be able to offer a range of virtual asset related services to qualified retail and institutional investors in accordance with the Virtual Asset Service Provider (also known as VASP) legal framework.
It will also allow the company to access local banking channels and provide open cash accounts, virtual currency to fiat conversion, asset transfer, custody and management, and token offering and trading services.
Changpeng Zhao (CZ), founder and CEO of Binance, commented in a statement:
“We strongly believe that we have a great opportunity to work with our industry peers to develop uniform implementation standards around the world, as we did in Dubai.”
Binance’s actions indicate 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-currency services including custody, trading and portfolio management.
Dubai VARA, established in March 2022, is responsible for licensing and regulating virtual asset providers in the emirate and its free zone territories. Local authorities have also granted CryptoCom a temporary license and permission to establish FTX regional headquarters.