Global cryptocurrency exchange Binance is likely to soon sign an MoU with the Dubai government for crypto-related activities.
The emirate is also in the run to become a location for Binance’s global headquarters, along with France, The Business Times reported. Binance CEO and co-founder Changpeng Zhao has previously described Dubai as “very pro-crypto”. Binance currently does not have a formal headquarter base.
Singapore was also previously being considered according to the report, but Binance has since withdrawn its crypto licence application from the country and will shut down operations by February next year.
Two months ago, Zhao also met with heads of the Dubai Blockchain Centre and the Dubai Police’s virtual assets crime section to discuss “opportunities, innovation, talent and investment that Binance can bring to the UAE,” he said in a LinkedIn post.
“Binance is establishing in multiple jurisdictions globally. We are having meaningful conversations with governments, governmental agencies and key stakeholders in various markets. We do not comment or speculate on the issue of headquarters. When appropriate, we will release official statements to keep the community informed of developments,”
a Binance spokesperson told The Business Times.
It was revealed in November this year that Zhao would be purchasing his first home in Dubai to reiterate Binance’s commitment to the emirate.
Dubai takes an optimistic stance towards crypto
While Dubai does not consider cryptocurrency as legal tender, local authorities have taken multiple steps to increase the attractiveness of the emirate as a crypto hub.
For instance, crypto-related activities have been approved in multiple free zones, including the Dubai World Trade Centre (DWTC) Authority, Dubai Airport Free Zone Authority, and the Dubai Multi Commodities Centre.
The DWTC also partnered with Bahraini crypto trading platform CoinMENA over a crypto and blockchain hub.
In October this year, the Dubai Financial Services Authority’s (DFSA) published a regulatory framework for digital assets, the first of two phases of its digital assets regulatory regime. The DFSA is the regulatory body of Dubai financial district and startup hub Dubai International Financial Centre.
Featured image: Unsplash (edited)
