Binance and its regulatory hurdles clear up as it receives a go-ahead from Bahrain’s central bank to be a crypto-asset service provider.
Although the cryptocurrency exchange gained approval from the central bank, it is yet to complete a full application process, as per reports. According to the CEO of Binance, Chang Peng Zhao, it will be completed “in due course.”
It will be a huge milestone for Binance if successful, as it would make it the first regulatory approval for the exchange within the Middle East or North Africa. Binance has been rallying with the authorities in the Gulf to enhance crypto’s reach and its global footprint.
Zhao noted in an email to Bloomberg,
“I am grateful for the support from the Central Bank of Bahrain and the broader Bahraini ecosystem during the process.”
Bahrain has been among the largest adopters of crypto technology and could benefit from Binance’s entry. Lately, Binance was holding talks with the regulators in the United Arab Emirates about a potential headquarters in the country. Meanwhile, it also signed a deal with the Dubai World Trade Centre Authority to cooperate on virtual asset regulation.
As per the director for licensing at the country’s central bank, Abdulla Haji the licensing is “a matter of formalities” once Binance completed the establishment requirements. Haji also painted the kingdom to be “the perfect place” for exchanges to set up their headquarters.
Even though Bahrain opened its economy to crypto and Binance, not everyone was fond of its presence. Adding to the latest developments for Binance, it was slapped with a fine of 8 million lira [$750,000] by Turkey’s Financial Crimes Investigation Board [MASAK]. The exchange was being penalized as its operations in Turkey violated local anti-money laundering laws.
As Binance tries to comply with changing regulations around the world, the crypto users may be relieved to see at least one country embracing the tech and businesses alike.