The world’s largest cryptocurrency exchange Binance was able to grant access in the Gulf region.
Bahrain was the first gulf country to provide a license to a cryptocurrency exchange. Bahrain’s central bank issued a crypto-asset service provider license to Binance at the start of the week. This is the first time such license in the Gulf Cooperation Council( GCC) was issued, the Central bank of Bahrain said.
Following that Binance Cheif Executive Officer Changpeng Zhao said ” The license from Bahrain is a milestone in our journey to being fully licensed and regulated around the world.”
Furthermore, he added, ” The regulatory requirements will protect users with strong anti-money laundering and counter-terrorism financing policies.” The regulations will allow Binance to provide cryptocurrency asset trading, portfolio management, and many other crypto-related services in Bahrain.
Following Bahrain, Binance set its next location in the United Arab Emirates. Last December Binance said there were working with Dubai World Trade Centre (DWTC) to set up and maintain an international virtual asset ecosystem there and work on its virtual asset regulations.
March 9 The emirate of Dubai adopted its first law regulating virtual assets and governing it, said its ruler Sheikh Mohammed Bin Rashid the Ruler of Emirates. The United Arab Emirates, a federation of seven emirates and the region’s financial capital, was keen to develop and create virtual asset regulation to attract many more new forms of business and entrepreneurs to Emirates for their economic boost.
As we all know the United Arab Emirates is a paradise for many rich people legalizing cryptocurrency in the Emirates region will be helpful for both Emirates and the cryptocurrency market.
However under the name of virtual assets, it can be referred to both Cryptocurrency and NFTs, but the announcement made by the Emirates has not mentioned a specific are in which assets would come under the new law.
Dubai Financial Service Authority (DFSA) is working on its own creating the regulations for the virtual asset sector. Last October, DFSA created the first part which governs digital tokens and now they have launched a consultation on regulations for cryptocurrency tokens.
In Dubai, Binance will be given permission to offer limited exchange services under the initial regulatory phase of the Virtual Asset Regulatory Authority (VARA). Binance is looking forward to building a blockchain technology hub at the Dubai world trade center, to empower exchange activities and attract more new users.
Changpeng Zhao (CZ), founder and CEO of Binance, 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.”
“Binance is appreciative of being awarded this license in such a progressive regime, targeting uncompromised governance and market security.
The collaborative way in which Binance has been engaged to bring proven industry compliance leading experience to the Dubai ecosystem is indicative of the unique operating model that the VARA is creating for the global industry.”
Binance has started expanding its service worldwide, being regulated by countries can create a secure environment for users and will be help full to any other cryptocurrency exchanges.