Binance has received a minimal viable product (MVP) license from Dubai's Virtual Asset Regulatory Authority (VARA). The approval allows the company to begin offering a variety of digital asset offerings to qualified institutional and retail investors in the region.
Previously, Dubai's watchdogs granted Binance a license allowing it to converse only with authorized investors and skilled financial service providers.
Dubai said YES!
The platform received a provisional license from Dubai's VARA in March of this year, allowing it to provide cryptocurrency services to a specific type of local investor. The company was given the go-ahead to operate within the megalopolis' "test-adapt-scale" virtual asset market model, with the domestic regulator promising to enforce the process strictly.
Dubai's authorities appear to be pleased with Binance's presence in the region, as they recently gave it a minimum viable product (MVP) license. As a result, the platform can now offer digital asset assistance to qualified retail and institutional investors who follow local regulations.
VARA will approve new clientele, which means that customers will receive higher levels of consumer protection.
As a result of the MVP authorization, the exchange opened a client money account with a local branch and offered various options. These include virtual asset exchange services, cryptocurrency transfers, digital asset custody and management, and conversion among both virtual assets and fiat currencies.
Helal Saeed Almarri, Chairman of VARA, stated that the regulator is "pleased" to have Binance working within its program. The watchdog's policies aim to provide the best crypto interactions for domestic investors while also ensuring maximum customer protection, he added.
Changpeng Zhao, the company's CEO, also spoke on the matter, stating that the platform's primary objective is to enable responsible innovation, provide users with low-risk access to the crypto world, and collaborate with regulators.
"We firmly believe there is an important chance to collaborate with our industry peers to provide accurate implementation standards all over the world, as we have done in Dubai," he concluded.
The Pro-Crypto Vision of Dubai
Dubai, the most populous city in the UAE, has emerged recently as one of the world's cryptocurrency hubs.
Aside from Binance, the local officials granted CryptoCom a provisional license, and FTX received regulatory permission to open a regional office in Dubai. Emirates Airline, the UAE's largest airline, announced plans to accept bitcoin as a payment method in May, while blockchain technology may be used to trace aircraft records.
Last week, the luxury five-star hotel Palazzo Versace Dubai permitted clients to pay for accommodation, dining, and spa facilities in virtual currencies rather than fiat currency. Bitcoin (BTC), Ether (ETH), and Binance Coin are all supported cryptocurrencies (BNB).
Do you think that this partnership will last in the long run? What would the crypto community have to say about this partnership?