Binance has received a Category 4 license as a crypto-asset service provider (CASP), which will let it provide a range of crypto services.
It is the first exchange in the region to receive the license.
Binance has turned a lot of its attention to the Middle East, and it could launch crypto trading services there next month.
Binance has announced that its Bahrain division has received a category 4 license from the country’s central bank. The Category 4 license as a crypto-asset service provider (CASP) will permit Binance Bahrain to offer several crypto exchange services. It is the first crypto exchange in Bahrain to receive this license.
Binance said that the license comes after close cooperation with the Central Bank of Bahrain, which is keen to leverage blockchain and crypto tech to offer cutting-edge services. The authority is responsible for financial oversight in the country. It implements Bahrain’s monetary and foreign exchange rate policies, manages government reserves and debt issuance, and issues the national currency
Binance CEO Changpeng Zhao was proud of the milestone, describing the landmark achievement as follows,
“I’m proud of the hard work of the Binance team to meet the stringent criteria of the Central Bank of Bahrain, not just locally but globally by ensuring that we meet and exceed the requirements of regulators and protect users with strong anti-money laundering and counter-terrorism financing policies.”
Binance has also signed an MoU with The Ministry of Digital Development of the Republic of Kazakhstan. The goal here is to develop the virtual assets market in the country. The exchange will offer guidance on developing a legislative framework and regulatory policy.
The Middle East appears to be a prime target for Binance, which has conducted a lot of strategic initiatives in the region. It could launch crypto trading services in the Emirates as early as June 2022.
Binance Making a Push Towards Compliance
Binance has received a series of licenses in various countries in recent weeks. All of this is a bid to show that it is focused on compliance. Lawmakers around the world at different times have expressed concerns over the influence of the exchange, which in previous years wasn’t so keen on compliance.
The last few years have seen Japan, Israel, and the United Kingdom all call out Binance for its weaknesses related to compliance. The world’s largest crypto exchange seems to have taken that to heart, because it is now actively working to ensure that it meets all standards.
It has most recently applied for licenses in Germany, which it hasn’t yet received but is something that is likely to happen. Furthermore, it also received a limited operating license in Dubai in March, and one in France earlier this month.