Binance Withdraws Abu Dhabi License Application Amid Regulatory Shifts 🪙🇦🇪

Binance, one of the world’s largest cryptocurrency exchanges, has withdrawn its application for a license in Abu Dhabi, signaling a strategic reassessment in response to growing regulatory pressures. The unit, BV Investment Management, filed the application a year ago but recently decided to withdraw it, as disclosed on Nov. 7. This application, had it been approved, would have allowed Binance to manage a collective investment fund. The move comes amidst a broader review of the platform’s global licensing needs, with Binance stating that the Abu Dhabi license is no longer deemed necessary. Binance has been a significant player in the United Arab Emirates’ digital asset landscape, with existing regulatory permissions in Dubai and Abu Dhabi. The withdrawal follows the recent departure of Binance founder Changpeng Zhao as CEO, unrelated to the $4.3 billion settlement the exchange agreed to pay in response to U.S. anti-money laundering law violations. The UAE, aspiring to be a digital asset hub, has been a crucial location for Binance, which last year committed to significant recruitment efforts and contributing to the shaping of crypto regulations in Dubai.