Binance one step away from full approval in Dubai with operational license

The MVP license allows Binance to cater authorized services to institutional and qualified investors, with potential expansion to include other retail investors after full approval


VideoFlow/Shutterstock, modified by Blockworks


Binance has obtained a crucial license from the Virtual Asset Regulatory Authority (VARA) of Dubai, the crypto exchange said on Monday.

By acquiring the operational minimum viable product (MVP) license, Binance has gained the ability to provide approved services in Dubai under VARA oversight. 

The services encompass exchange and broker-dealer facilities, initially tailored for institutional and qualified retail investors, with the potential to expand to include other retail investors after obtaining full approval.

Additionally, eligible users in Dubai have the option to convert virtual assets to fiat under VARA-designated standards.

“In due course investors that qualify (our institutional or qualified retail), through Binance FZE our locally regulated entity, will have access to local currency on and offramp channels, which were not previously available via,” a spokesperson for the exchange told Blockworks.

The issuance of the license follows Binance’s acquisition of a provisional MVP license in March last year and a preparatory MVP license in September.

“With this operational MVP license, all users onboarded through this platform can expect access to a trusted and regulated service that prioritizes security alongside compliance with highly specialized, tier-one virtual asset regulations under VARA,” Alexander Chehade, Binance Dubai’s general manager, said in a statement.

In Dubai, the VARA has a four-stage licensing process for applicants. They go through these stages to ensure they operate within the regulatory framework before getting a full market product license (FMP).

As of now, Binance has not obtained an FMP license, which would permit them to offer a broader range of authorized services.

The transition from MVP to FMP will enable Binance to onboard retail clients under the 500,000 AED (about $136,000) liquid capital threshold set by VARA during the MVP stage, a spokesperson for Binance said.

Even if they have completed the initial stage of the licensing process, virtual asset service providers may still operate, but with certain restrictions in place.

Dubai is one of the fastest-growing crypto economies, attracting over 500 crypto companies to its digital asset ecosystem as of January.

Although Binance appears to be progressing well with its licensing journey in the Middle Eastern city, it has faced challenges elsewhere.

The exchange was recently forced to withdraw from several European cities due to registration issues and is currently contending with a lawsuit from the US Securities and Exchange Commission.

Don’t miss the next big story – join our free daily newsletter.


Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

Mon - Wed, March 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Top Icon.png


Osmosis thrived in H2 2023 on the back of increased DeFi activity deriving from recently launched Cosmos-related projects and better market conditions. With new value accrual mechanisms for the native token, Osmosis is well-positioned to continue its strong performance in 2024.



Do Kwon may miss the start of the March 25 trial in the SEC’s case against the former executive and Terraform Labs


Riot Platforms bought 31,500 more mining machines while CleanSpark has begun operating in Mississippi


Dencun was activated on all testnets, a blog post Tuesday said


Hut 8 also announced it broke ground on a Texas mining site


Uniswap aims to become a “complete platform for swapping” following its latest product releases


Continued demand for bitcoin ETFs coupled with greater demand for bitcoin from exchanges is contributing to price moves, analysts say