Binance FZE, the Dubai subsidiary of Binance, has been granted a Virtual Asset Services (VASP) license by the Dubai Virtual Asset Regulatory Authority (VARA).
Following the initial release of the Minimum Viable Product (MVP) license, this marks a significant milestone for Binance and the global virtual asset landscape.
The transition from an MVP license to a VASP license allows Binance FZE to expand its product offerings to the retail market together with specialized and institutional investors. Individual clients can now access a wide range of digital asset products and services, including spot trading, margin trading and staking.
By starting operations under the new VASP license, Binance FZE will significantly increase its current offerings beyond spot trading and fiat services. Rather than simply expanding their token selection, users can look forward to a greater variety of exchange services. This landmark global license paves the way for all UAE clients to use a controlled platform for a full range of virtual asset products and services.
Binance FZE CEO Alex Chehade commented:
“This is an important milestone that validates our commitment to provide secure, compliant and industry-leading services to our users worldwide. It underlines Dubai’s position as a forward-looking city, recognizing and embracing the economic potential offered by blockchain technology.”
For users looking for passive income opportunities, Binance FZE will offer tailored services specifically for this purpose, such as Simple Earn. Enhancing the range of investment strategies available, it will also introduce new options through lending and borrowing services, including virtual asset loans. In addition, management and investment services will allow users to leverage features such as ETH staking, BNB Vault and Launchpool to enhance the earning potential of their digital assets.
The license will allow qualified and institutional investors to engage in margin and derivatives services, including futures and options. Currently, these offers are limited to those that meet investor criteria.
Richard Teng, CEO of Binance, commented:
“Achieving the prestigious VASP license not only underlines, but definitively proves our unwavering commitment to revolutionize the future of finance. Our achievement of this milestone is a solid affirmation of our continued pursuit of transparency, regulatory compliance and responsible growth in the ever-expanding realm of digital assets. It is an exciting prospect to further expand access to the transformative economic benefits of blockchain technology to our users in the UAE.”