As the year comes to a close, the world’s largest cryptocurrency exchange, Binance, has obtained an MSB licence from Canadian regulatory authorities to provide cryptocurrency services. On the same day, the company gained in-principle clearance from Bahrain’s central bank.
Binance’s Canadian subsidiary will be known as Binance Canada Capital Markets, according to an official filing with the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC). It will also deal in foreign currency, money transfers, and virtual currencies.
On December 1st, 2021, the exchange was formed as a domestic organisation, and the licence is valid for the next four years, until December 31st, 2024.
Confirming the news, CZ tweeted:
Binance has had a bumpy ride in 2021, having been spurned by some of the world’s most powerful regulatory authorities. In fact, the Financial Crimes Investigation Board (MASAK) recently punished its Turkey unit over $750,000 for infractions discovered during liability inspections.
However, the most recent development proved that Binance is progressing despite these obstacles as it seeks to expand its global reach. In addition to receiving an MSB licence, the bitcoin exchange obtained a heads-up from a Gulf country.
Binance also said that it has received preliminary authorisation from the Central Bank of Bahrain (CBB) to operate as a cryptocurrency service provider. According to the official press release, the green light comes after the company applied for a licence from the regulatory authority to operate as a fully-regulated centralised cryptocurrency exchange.
With this latest step, CBB has become the first entity in the Middle East North Africa (MENA) area to approve Binance. The exchange will still need to finish the entire application procedure as part of the permission, which it anticipates to be done in “due course.” CZ commented on the development, saying,
“The CBB has been a progressive pioneer in developing a robust crypto-asset framework focusing on compliance with global standards of anti-money laundering, counter-terrorism financing, transaction monitoring, consumer protection amongst others. It sets a benchmark bridging traditional financial systems and the crypto industry to facilitate safe adoption and deployment.”
Binance announced last week that it is collaborating with the Dubai World Trade Center Authority (DWTCA) to establish a cryptocurrency hub. The major goal of the Memorandum of Understanding (MoU) with the DWTCA is to increase the global crypto exchange’s efforts to develop a digital asset ecosystem that will generate long-term economic growth.