Binance Scores FSP Approval To Offer Crypto Custody Services In Abu Dhabi

Binance, the world’s biggest cryptocurrency exchange, has been granted Financial Services Permission [FSP] from the Financial Services Regulatory Authority [FSRA] in the Abu Dhabi Global Market [ADGM].

In accordance to the press release, the FSP approval will allow the exchange to offer crypto custody to professional clients, provided they satify the neceassary requirements of the FSP set by the regulatory authority, FSRA.

“We look forward to supporting Binance’s operations and R&D in ADGM to develop solutions for the Web3.0 economy,” Ahmed Jasim Al Zaabi, Chairman of ADGM, said.

Richard Teng, Regional Head of MENA and Europe, commented: “Working with the ADGM and FSRA has been a highly collaborative process that underscores the value of cooperation between our industry and the public sector’.

Back in April 2022, Binance secured its In-Principle Approval [IPA] from the ADGM regulator to function as a broker-dealer in virtual assets.

“Obtaining this license is a pivotal step in the growth of Binance in Abu Dhabi, and a reflection of the city’s progressive stance on virtual assets,” Dominic Longman, the firm’s senior executive officer, said in a statement.

Binance CEO- ” Crypyto Does Not Need Saving”

The United Arab Emirates has become a centre for the cryptocurrency business as a result of the establishment of some of the largest crypto companies in the world in the commercial capital of Dubai, including Binance, which is assisting Dubai in creating rules for the city’s industry.

The chief executive of Binance, Zhao, revealed at a recent conference in Abu Dhabi that the recovery fund his company intends to establish to assist cryptocurrencies facing a liquidity crunch as a result of the demise of rival FTX has garnered considerable interest from industry players.

Zhao added that he doesn’t have a predetermined cap in mind for the recovery fund’s size. He stated, reluctant to name any players just yet, “There are players with good financials and we should come.

While reiterating that Binance had solid reserves, the chief executive however did not provide an estimate of the amount that the business would donate to the fund. Crypto doesn’t require saving, according to Zhao. “Crypto is going to be OK”.

Besides Binance, Kraken claimed to be the first global digital assets exchange group in the United Arab Emirates to receive a full financial license from ADGM in April. 

Lipika Deka: Lipika is a crypto-journalist at TWJ. A graduate in economics and finance, she has a keen interest in the political and socio-economic facets of blockchain technology and the cryptocurrency industry.