Binance Migrates UAE Residents to VASP-Licensed FZE Arm

Binance is moving all of its UAE users to its Dubai VARA-regulated FZE exchange.

All UAE residents currently on Binance's global exchange are required to update their KYC information by submitting documents by 15 December.

The move comes six months after the exchange withdrew its Abu Dhabi license, which it stated was "not necessary."

"When assessing our global licensing needs, we decided this application was not necessary," a Binance spokesperson said at the time.

Binance received a Virtual Asset Service Provider (VASP) license from Dubai’s Virtual Assets Regulatory Authority (VARA) in April this year.

The VASP license upgraded the previous Minimal Viable Product (MVP) license held by local subsidiary Binance FZE since July 2023, allowing the exchange to extend its product offerings to retail investors alongside qualified institutional investors in the emirate.

"The full VASP licence signifies our unwavering commitment to compliance, innovation and user protection," Binance said in its most recent announcement.

Last month, India's Financial Intelligence Unit (FIU) fined finance $2.2 million for violating anti-money laundering (AML) rules after granting conditional approval for the exchange to re-enter the country.

The move by the FIU was seen as a positive step towards regulating the cryptocurrency industry in India.