A Binance Headquarter In Dubai? Is CZ Discussing It With Regulators? Although this is all rumor, Binance may relocate to Dubai. Additionally, Bloomberg seems to argue that the business will make the Gulf Arab country its primary residence. Do we put too much meaning into it? Or are the hints right there in plain sight? The CEO of Binance, Changpeng Zhao, also known by his alias CZ, did purchase a residence in Dubai and described it as “pro-crypto.”
Binance’s Road To Compliance
First off, there are no sources that can be identified for this report. Thus, anything might be a rumor. Binance is attempting to collaborate with lawmakers and authorities, though. They want to be as obedient as possible. Because of the size of their company, this is the only viable plan. The opening line of the Bloomberg piece is:
Binance has been engaged in a cat-and-mouse game with authorities worldwide since its launch in 2017. They immediately overtook China as the largest cryptocurrency exchange after that nation outlawed its version. Users could transact up to a particular amount without going through KYC requirements. Binance opened offices in several places, but every place they went, the company ran into problems with the government and could not close deals. However, because the exchange existed simultaneously in multiple locations, “it was difficult for regulators to establish jurisdictions over” them.
The crisis reached its zenith this year. In various nations, including the U.S., U.K., Japan, and Germany, Binance “was the subject of inquiries and consumer warnings.” When this statement was made, CZ stated that the organization “was stepping up on licensing and compliance procedures and planned to establish multiple headquarters.” Is that the current plan? Zhao has been residing in Singapore for the past two years, but once more, Binance could not reach an agreement. The city-state recently experienced a setback when its local unit withdrew a proposal to operate an exchange.
What Makes Us Think Binance Is Moving To The Arab Gulf?
They are, after all, attempting to draw Bitcoin companies. Is there a bigger fish in that water than Binance? There is also the ADGM to add to the list. What exactly is it?
However, we did include Dubai in the headline. Abu Dhabi is home to this ADGM. However, there is a project comparable to this one, known as the DMCC, and it “looks to issue a regulatory framework that will include licensing for crypto trading.” The Dubai Multi Commodities Center has set the lofty goal of welcoming more than 1,000 cryptocurrency businesses by the following year. Binance is comparing the two initiatives. The article appears to imply that.
Binance’s spokesman, Patrick Hillmann, is the only person quoted in the Bloomberg article, saying, “We are considering several potential strategies, including possibly establishing multiple regional headquarters.” CZ did, however, promise this. Zhao stated that Binance had chosen a location for its global headquarters and would announce it after speaking with regulators in an interview at the Bloomberg New Economy Forum in Singapore last month.
Conclusions To Close This Off
Binance is still working toward compliance. The business released its first traditional media ad a month ago. It included a list of “10 Fundamental Rights For Crypto Users” that more closely resembled promises made by the exchange to regulators and implied threats. This was the second.