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Virtual asset laws in the Middle East and North Africa region (MENA) have given it a competitive advantage in cryptocurrency markets and trading. Binance is taking advantage.
Binance licenced in MENA
Binance, the largest cryptocurrency trading platform in the world, has praised Bahrain and the UAE's laws as they have given the cryptocurrency market more depth.
According to Binance's General Manager Alex Chehade, governments in the MENA regions have decided to promote the Web3 Economy.
“Obviously, some jurisdictions are moving quicker with crypto regulation, and this is why we’ve established a large footprint in MENA. Because governments have decided that the Web3 economy is something they want to foster. They set frameworks that enable building the ecosystems.”
Binance can onboard global clients with the Virtual Assets Regulatory Authority licence in Dubai. It meets their criteria, and Binance has a crypto custody licence in Abu Dhabi. VARA licences include crypto exchange, custody and brokerage.
Binance's global operations have remained untouched by the US federal investigations despite intense scrutiny, and despite the crypto industry being affected by the collapse of FTX, Binance's impact is undeniable.
MENA to lead the world in crypto regulation
In recent years, cryptocurrency trading has grown in popularity in the MENA. The UAE Securities and Commodities Authority introduced cryptocurrency regulations in 2021. The SCA's goal is to promote innovation and protect investors while improving the financial stability of the country.
Dubai Multi Commodities Centre has taken steps to make the emirate a centre for cryptocurrency trading. The DMCC has launched the Crypto Centre, a platform which allows cryptocurrency companies to set up shop in Dubai.
Saudi Arabia's Monetary Authority has created a regulatory sandbox in order to encourage financial technology innovation, including cryptocurrency. The sandbox is a place where fintech startups can test their products in a controlled setting before they launch them on the market.
The MENA region has a set of cryptocurrency regulations that have placed it at the forefront in the global cryptocurrency market. The region's innovative regulatory frameworks offer greater opportunities to investors and cryptocurrency firms looking to expand.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.