- Binance received three licenses from Abu Dhabi’s Financial Services Regulatory Authority (FSRA) for exchange, clearing, and broker-dealer services.
- The licenses authorize Binance to operate under the Abu Dhabi Global Market (ADGM) regulatory framework starting January 5, 2026.
- These approvals provide Binance with regulatory oversight and consumer protection within ADGM’s financial free zone.
- Binance currently holds a virtual asset service provider license in Dubai and has a $2 billion investment from Abu Dhabi’s MGX venture firm.
Binance, a major cryptocurrency exchange, has gained regulatory approval from Abu Dhabi’s Financial Services Regulatory Authority (FSRA) to conduct its exchange, clearing house, and broker-dealer activities. The three separate licenses were granted to its subsidiaries: Nest Exchange Limited, Nest Clearing and Custody Limited, and Nest Trading Limited, enabling operations within the Abu Dhabi Global Market (ADGM) financial free zone, according to a company announcement on Monday.
The FSRA is the independent financial regulator overseeing ADGM, which requires licensed entities to have their “mind and management” functions based in the zone. This includes control over commercial, governance, compliance, surveillance, operations, technical, IT, and human resources activities, as outlined in a February 2020 FSRA guidance.
Richard Teng, co-CEO of Binance, said the licenses bring regulatory clarity and legitimacy and enable the exchange to support its global operations from ADGM. He added, “While our global operations remain distributed, leveraging talent and innovation worldwide, this regulatory foundation offers our users peace of mind knowing Binance operates under a globally recognised, Gold standard framework.”
Operating within ADGM offers Binance users increased consumer protection and enhanced oversight from regulators. The company plans to commence its regulated activities under these licenses on January 5, 2026.
Binance already has a presence in the United Arab Emirates through a virtual asset service provider license obtained in April 2024 for its Dubai entity. Additionally, it secured a $2 billion investment from MGX, a technology and Artificial Intelligence venture firm based in Abu Dhabi, in March 2024.
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