Binance Receives ADGM Licenses to Launch International Platform

Binance, a leading cryptocurrency exchange, has secured three licenses from the Abu Dhabi Financial Services Regulatory Authority (FSRA), allowing it to operate its international exchange, clearing house, and broker-dealer services in Abu Dhabi's financial ecosystem. This approval reflects Binance's strategic expansion and commitment to regulatory compliance.

Key Takeaways

Binance has obtained three licenses from the FSRA in Abu Dhabi.
The licenses cover operations for its exchange, clearing house, and broker-dealer services.
Binance's co-CEO highlights the importance of regulatory clarity for global operations.
The exchange plans to commence regulated activities by January 5, 2026.
Binance has a presence in Dubai and has previously made a substantial investment in the UAE.

Binance secures ADGM licenses to operate international platform

Main Content

Binance, the prominent cryptocurrency exchange, has received three crucial licenses from the Abu Dhabi Financial Services Regulatory Authority (FSRA). This approval allows Binance to operate its exchange, clearing house, and broker-dealer services under the regulatory framework established by the FSRA, which oversees the Abu Dhabi Global Market (ADGM).

In a recent announcement, Binance revealed that its subsidiaries, Nest Exchange Limited, Nest Clearing and Custody Limited, and Nest Trading Limited, have been granted the necessary licenses. Richard Teng, the co-CEO of Binance, expressed that these licenses bring regulatory clarity and authenticity to their operations, enabling Binance to manage its global activities from the ADGM.

Teng remarked, “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 recognized, gold standard framework. We are grateful for the FSRA’s forward-thinking approach, which safeguards users while fostering innovation.”

Richard Teng _Source:_Binance

Binance's Future in Abu Dhabi

Currently, Binance does not maintain a single corporate headquarters, which affects its tax responsibilities and the regulations it must adhere to. Cointelegraph has reached out to Binance for further clarification on this development.

According to FSRA regulations established in February 2020, authorized entities engaging in regulated activities within the ADGM must have operational management based in the zone. This includes allocating resources for various functions such as commercial, governance, compliance, surveillance, operations, technical, IT, and HR.

By operating under the financial services regime of the ADGM, Binance aims to enhance consumer protections for its users while ensuring increased regulatory oversight. The exchange is set to commence its regulated activities on January 5, 2026.

Teng stated in an X post that securing these licenses marks an “important milestone for Binance.” It positions Binance as the first global exchange to receive regulatory approval from a respected authority and indicates that its international operations and liquidity will now be closely monitored.

Binance Operations _Source:_Richard Teng

Binance has already established a presence in the United Arab Emirates, having obtained a virtual asset service provider license in Dubai in April 2024, along with a significant investment of $2 billion from MGX, an Abu Dhabi-based artificial intelligence and technology venture firm earlier this year.