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Binance has achieved a historical milestone in Dubai by securing the Operational Minimum Viable Product (MVP) license, according to a recent company blog post. Through its subsidiary, Binance FZE, the firm has become the pioneer exchange to gain this exclusive endorsement from Dubai’s Virtual Asset Regulatory Authority (VARA).
A Huge Feat for Binance
The newly gained Operational MVP license brings two licensed activities into Binance’s portfolio within Dubai, namely, virtual asset exchange services and virtual asset broker-dealer services. However, these are restricted to institutional and qualified retail investors.
Getting the license is not just a remarkable feat for Binance but also a testament to their dedication to shaping a compliant exchange. Collaborating closely with local regulators, Binance says it has tailored its operations to fit within Dubai’s distinctive framework for Virtual Asset Service Providers (VASPs).
Ensuring Secure Transactions
Transitioning from the Provisional License to the Operational MVP License translates to broader access for eligible users in Dubai. Now, they can convert virtual assets to fiat currency within VARA’s specific guidelines, meeting the requirements of the Financial Action Task Force.
Clients and institutions that qualify for these services can rely on the protection and market assurance standards designed particularly for the virtual asset sector. Richard Teng, Binance’s Head of Regional Markets, emphasized the commitment to a seamless customer migration with rigorous Know-Your-Customer and Customer-Due-Diligence practices.
Binance says the license also marks the establishment of the first entirely regulated exchange operating within Dubai, fulfilling FATF compliance requirements, and thereby setting the stage for global growth with unwavering user assurance.
The United Arab Emirates has been in the vanguard of endorsing blockchain technology, crafting an industry where security and innovation thrive side by side. Binance says it looks forward to amplifying more Web3 possibilities, aligning with the Dubai government’s regulatory tactics.