Insights

Dubai’s VARA grants crypto exchange Binance FZE full virtual asset service provider license 

Binance, the world’s largest crypto exchange by trading volume, said it has been awarded a full virtual-asset services provider (VASP) license by Dubai’s Virtual Assets Regulatory Authority (VARA) almost a year after entering the third stage of the emirate’s four-stage process.

“As we secure the esteemed full market VASP Licence, it notably amplifies our unwavering commitment to advancing the financial landscape through compliance and innovation,” CEO Richard Teng said in a statement. “This achievement embodies our dedication to transparency, regulatory compliance, and responsible growth in the dynamic digital assets domain.”

 

 
 
 
 
Binance’s local unit, Binance FZE, obtained an Operational MVP license in mid-2023, a VARA filing shows. That allowed it to serve institutional investors and qualified investors while engaging in broker-dealer services and exchange services including virtual-asset derivatives trading.

The full VASP license “underlines Dubai’s position as a forward-thinking city – acknowledging and embracing the financial potential that blockchain technology brings,” Binance FZE General Manager Alex Chehade said in a statement.

Dubai’s VARA issues new rules on crypto marketing, takes effect October 1

Dubai: From October 1, new rules on marketing will come into effect for virtual asset service providers (VASP) in Dubai, which will govern all aspects of how they message the services they provide. These were issued by Dubai’s Virtual Assets Regulatory Authority (VARA).

Recognising the need for clear and consistent guidelines, The new ‘Marketing Guidance Document’ will ‘serve as a vital resource for VASPs’, offering detailed instructions on how to conduct compliant marketing activities in Dubai. And ensure ‘VASPs can navigate the regulatory landscape with confidence’

The guidance covers the use of language in marketing materials, disclosure requirements, and the ethical considerations that should underpin all marketing efforts.

“The updated regulations place a strong emphasis on the accuracy of marketing communications, the avoidance of misleading information, and the protection of consumer interests,” said VARA in a statement.

“They apply to all entities involved in marketing virtual assets or related activities, regardless of their licensing status with VARA.”