Binance is licensed in principle as a crypto asset service provider in Bahrain.
Crypto exchange Binance has been granted a principle license by the Central Bank of Bahrain to operate as a crypto asset service provider in the Kingdom of Bahrain. According to the announcement, the in-principle approval is the first for a Binance entity in the Middle East and North Africa region.
In a statement, Binance CEO Changpend Zhao, or “CZ,” said approval from national regulators “is critical to building trust in crypto and blockchain and helping further increase mass adoption.”
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When it comes to licensing, it is “a matter of formality,” according to Abdulkarim Haji, director of licensing at the country’s central bank. He highlighted Bahrain as an ideal location for Binance to set up its headquarters in the region.
In a surprising move, Binance has also obtained a crypto financing license in Canada, which was founded as Binance Canada Capital Markets. The new subsidiary of the exchange will handle digital assets, money transfers, foreign exchange and function as a money service business (MSB).
CZ confirmed the license on Twitter. He said the company is excited to expand its customer support team to include customers and other crypto exchanges.
On last Friday, the crypto exchange applied FINTRAC for MSB license and it was approved on Monday, (27/12). The current exchange financial license will expire on December 31, 2024.
Bahrain, the smallest economy in the Gulf, has been a pioneer in the digital asset sector. Rain Financial became the first licensed crypto asset platform in the region after receiving permission from the country’s central bank to operate in 2019. In January, Bahrain’s monetary authority renewed the license for Manama-based CoinMENA.
Binance’s decision reflects the company’s increased focus on the Middle East region. The company recently became the first crypto exchange to join a new crypto center set up by the Dubai World Trade Center Authority.
Binance rules adventure is no less thrilling in 2021 because of the exchange crypto currency continue to expand to new countries and obtain appropriate regulatory approvals. At the same time, it has faced serious criticism, warnings and fines from several authorities.
Recently, Turkey’s Binance was fined 750,000 dollars by the Financial Crimes Investigation Board for failing to meet the financial oversight report requirements.
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