- Dubai’s Virtual Regulatory Authority (VARA) has requested that crypto exchange Binance provide additional information regarding the firm’s ownership structure and auditing procedures.
- Binance responded by saying that it had provided VARA with all necessary answers.
- Binance is also facing increased scrutiny from the US Commodity Futures Trading Commission for allegedly violating derivative regulations.
Dubai Requests Additional Information from Binance
Dubai’s Virtual Regulatory Authority (VARA) has requested that crypto exchange Binance provide additional information regarding the firm’s ownership structure and auditing procedures. According to reports, officials from Dubai’s VARA recently requested that Binance share more details concerning its ownership structure, governance, and auditing procedures.
Binance Responds to Request
Binance responded by saying: We have disclosed all necessary answers to VARA on a proactive basis and in line with our regulatory and fiduciary responsibilities. The crypto exchange currency holds the minimal viable product (MVP) license and is looking to gain a full market product (FMP) license. No crypto firms, including Binance, have been granted such a license. The regulatory authority said that only holders of the FMP license could offer a full range of services to Dubai residents.
Increased Presence In Middle East
Binance has increased its presence in the Middle East, and Binance CEO Changpeng Zhao has established Dubai as his base. As the VARA increases its scrutiny of Binance, it faces increased regulatory scrutiny from the US.
Sued By CFTC
Binance was recently sued by the US Commodity Futures Trading Commission (CFTC) for allegedly violating derivative regulations and maintaining „sham“ compliance procedures.