Despite a crypto crisis precipitated by the FTX crypto exchange collapse, Binance, the number one crypto exchange, is expanding its footprint globally. The Number One Exchange is getting ready to start its crypto custody services in the Abu Dhabi Global Market (ADGM).
The Financial Services Regulatory Authority or the FSRA in the Abu Dhabi Global Market has given Financial Services Permission (FSP) to the largest crypto exchange in the world.
The license enables The Number One Exchange to the custody of professional clients on the condition that they meet the FSP’s standards as defined by the FSRA. Binance obtained the nod and received In-Principle Approval (IPA) from the ADGM authority to operate as a broker-dealer in virtual assets in April 2022.
ADGM Feels The Binance License Is A Step Towards Web3.0 Economy
Chairman of ADGM, Ahmed Jasim Al Zaabi, said that the move to afford a license for the Exchange operation is a step in developing solutions for the Web3.0 economy.
Binance Regional head of MENA and Europe on expansion in the Middle East stated that the partnership between ADGM and FSRA has been a highly concerted process that highlights the value of teamwork between our industry and the public sector.
The FSRA and ADGM, the nation’s regulatory authority, framed the controlling ethics for cryptocurrency regulation and management in September. At the same time, the principles agree to international anti-money laundering (AML) and counter-terrorism financing (CFT) standards.
The regulatory authority has perfected five guiding principles for crypto asset trade on its official website of ADGM-
- Globally Recognized Controlling Outline,
- Active and Market-Oriented Rules,
- Risk-focused and Balanced Approach,
- Collaboration and Common Accountability,
- Distributing High Quality and Service
The Number One Exchange is expanding its footprints across the globe, and a custodial license in Abu Dhabi is the exchange’s most recent 2022 expansion push.
Binance’s CZ said, “To reduce further cascading negative effects of FTX, Binance is forming an industry recovery fund to help projects who are otherwise strong but in a liquidity crisis.”
The crypto exchange has expanded its operation in South America, opened two new offices in Brazil, and gained licenses in Kazakhstan and New Zealand.