Skip to content

Binance Withdraws "Not Necessary" Abu Dhabi Licence Application Amid Company Shake-Up

Binance claims its decision to pull the Abu Dhabi license is "unrelated" to its $4.3 billion U.S. settlement

Photo by David Rodrigo / Unsplash

Table of Contents

Binance has withdrawn its application for a license in Abu Dhabi as the company undergoes its biggest restructuring in its history.

Filed by Binance's BV Investment Management arm on 7 November 2022, the Abu Dhabi license would have allowed the firm to manage a collective investment fund.

In a statement, the world's largest crypto exchange claimed the application was not needed.

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

Despite Binance's dismissal of the license, the United Arab Emirates (UAE) has served as a key location for the firm, which recruited over 100 positions in Dubai last year.

In July, Binance became the first virtual asset exchange to receive an operational MVP license in Dubai.

I Went for Dinner Where the Waiters Wore Versace
An investigative journey into a world behind closed doors, where international money game rings, cryptocurrency and an absurd display of money cross paths, in the blistering heat of Dubai.

Binancial Trouble

Although Binance's spokesperson claims the decision to withdraw the Abu Dhabi application was "unrelated" to the recent settlement in the US, its recent woes have undoubtedly caused friction in the firm.

Last month, Binance was lumbered with a $4 billion fine whilst its founder and CEO, Changpeng Zhao, consequently stepped down.

CZ also faces a $50 million fine and has been refused the right to return to the UAE before his sentencing in February 2024.

Zhao pleaded guilty to violating the Bank Secrecy Act last month and was released on a $175 million personal recognizance bond, which originally allowed him to return to the UAE, where his children and partner live.

Prosecutors revoked his right to return to the UAE as he was deemed a flight risk. District Judge Richard Jones, of the Western District of Washington, agreed with the Department of Justice.

CZ, SBF & Do Kwon: The Tricky Case of Extraditing Crypto Villains
LUNA founder Do Kwon will be extradited to the US whilst ex-Binance CEO CZ is prohibited from flying to the UAE.

$1 billion has flooded out of the exchange since CZ's departure and whilst Richard Teng has taken the helm with confidence, his first round of public interviews has failed to win anyone over.

Binance’s ‘Fine’ Dining: $4 Billion Settlement News Served to VIPs First
Binance’s “VIP” clients were told about its $4.3 billion settlement two months before public knowledge over a private dinner at Singapore’s exclusive 1880 members club.

Latest

What is the Fair Value of Bitcoin?

What is the Fair Value of Bitcoin?

According to two staff members of the European Central Bank, Bitcoin is still a harmful phenomenon with no inherent worth, even if it has been approved as an asset to be included in ETFs in the US. The OG cryptocurrency just crossed its two-year high today, sitting at $56,287

ETF Hype Pushes Ether to 2-Year Highs

ETF Hype Pushes Ether to 2-Year Highs

Anticipation for US spot crypto ETFs shifts focus to Ethereum, with investors eyeing Ether's outperformance over Bitcoin amid rising demand and potential legal challenges, despite regulatory hesitations and concerns over ecosystem centralization.