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Image Credit: Reuters

Dubai: Binance FZE, the Dubai entity of a leading global virtual assets services provider, announced that it has received the Virtual Asset Service Provider (VASP) licence from Dubai's Virtual Assets Regulatory Authority (VARA). This licence, after the previous issuance of the Minimum Viable Product (MVP) Licence in July 2023, marks a significant milestone for Binance.

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

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

This licence allows diversifying trading services exclusively for qualified and institutional investors only, where 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.

Binance CEO Richard Teng stated: "As we secure the esteemed full market VASP Licence, it notably amplifies our 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."

Binance FZE General Manager Alex Chehade said: "This is a major milestone that validates our commitment to providing secure, compliant, and top-tier services to our users. It underlines Dubai's position as a forward-thinking city – acknowledging and embracing the financial potential that blockchain technology brings."