Binance Receives Licence from Dubai’s VARA

Binance FZE, the Dubai entity of the world’s leading global virtual assets (VA) services provider, on Thursday said that it has received the full market Virtual Asset Service Provider (VASP) licence from Dubai’s Virtual Assets Regulatory Authority (VARA).

This licence, which was issued April 17, authorised Binance FZE to exclusively serve institutional investors, qualified investors and retail investors. However, VA Derivatives trading restricted to institutional investors and qualified investors for VA Derivatives Limited Licence.

Binance secured the Minimum Viable Product (MVP) Licence from VARA in July 2023, which was hailed as a significant milestone for the world’s biggest crypto exchange.

Binance CEO Richard Teng said that securing full market VASP Licence notably amplified their unwavering commitment to advancing the financial landscape through compliance and innovation. “This achievement embodies our dedication to transparency, regulatory compliance, and responsible growth in the dynamic digital assets domain. Furthermore, it bears testimony to the innovative spirit of the UAE, as it continues to embrace the transformative economic implications of blockchain technology for its residents,” he added.

Retail Market Services

The transition from an MVP Licence to a VASP Licence allows Binance FZE to extend its product offering and expand its services to the retail market, in addition to qualified and institutional investors. Binance FZE can now offer individual customers a broad portfolio of virtual asset products that includes spot trading, margin trading (for qualified users), and staking products.

Binance FZE General Manager Alex Chehade described getting VASP licence as a major milestone that validated his company’s commitment to providing secure, compliant, and top-tier services to our users. It also underlined Dubai’s position as a forward-thinking city – acknowledging and embracing the financial potential that blockchain technology brings, he said.

Upon initiating operations under the new VASP Licence, Binance FZE will significantly enhance its current services beyond spot trading and fiat services.

With this licence for qualified and institutional investors, these segments are eligible to engage in margin and derivatives products, including futures and options. Presently, these services are strictly restricted to those that meet the qualified investor criteria.