• December 21, 2021

Binance Signs Agreement with Dubai World Trade Centre Authority to Establish an Industry Hub for Global Virtual Assets.

DUBAI, United Arab Emirates - Binance, a cryptocurrency exchange, announced on Tuesday that it has reached an agreement with Dubai World Trade Centre Authority, which is seeking to establish an international virtual asset ecosystem.

As the United Arab Emirates strives to attract new business amid regional rivalry, the Dubai World Trade Centre (DWTC) said on Monday that it will become a crypto zone and regulator for cryptocurrencies and other virtual assets.

In a statement, Binance, the world's largest cryptocurrency exchange by trading volume, stated that it intended to help Dubai build virtual asset rules.

"The purpose is to assist crypto exchanges, firms that offer blockchain and DLT services, or businesses that offer a wide range of digital currencies and assets to become licenced in Dubai," it stated.

Binance has been targeted by financial regulators throughout the world this year, with some barring the platform from specific operations and others advising users that it is not licenced to operate in their jurisdictions.

In response, CEO Changpeng Zhao said in July that he wants to improve relations with regulators.

In September, the Dubai World Trade Centre Authority (DWTCA), a so-called free zone in the United Arab Emirates, agreed to a framework that would allow it to accept and licence crypto-related financial transactions.

Another Dubai free zone, the Dubai International Financial Centre (DIFC), announced the first phase of a legal framework for digital tokens in October.

"We want to establish a regulatory framework adequate to fit the fast-moving and progressive nature of virtual assets," Zhao added, citing his leadership position and skills, as well as Dubai's long-term goal.