The UAE will emerge as the next big crypto hub, as stated by Binance Dubai’s general manager
Alex Chehade, general manager of Binance Dubai, said that the UAE is an excellent place for crypto businesses looking for a clear way forward and friendly toward digital assets.
Binance discovered that the UAE’s senior leadership wanted to make the region a hub for Web3. Chehade said, “They’re trying to diversify away from fossil fuels, and they see crypto as a great driver.” Ultimately, the UAE’s clear crypto regulations make the region appealing to exchanges like Binance, which is currently engaged in legal disputes with regulators in the United States, such as the Securities and Exchange Commission and the Commodities Futures Trading Commission.
“Binance is here in the UAE because we’ve been given the guarantee that we can set up activities and work for the future,” he stated.
Chehade noticed the UAE’s Virtual Resources Administrative Power (VARA) as a critical main thrust behind the flood of crypto-related interest in the district.
“There’s a reasonable system for individuals and organizations to draw in with, while you’re simply not considering to be quite a bit of that somewhere else,” he said.
Chehade stated that, in addition to regulation, the influx of young people moving to the UAE might see the region adopt crypto more rapidly than other digital asset hubs.
Mriganka Pattnaik, CEO of Merkle Science, also praised the UAE’s regulatory environment, noting that VARA, the world’s first virtual asset-specific regulator, provides firms under its jurisdiction with extremely detailed compliance guidelines.
Pattnaik, who spoke with Cointelegraph, said, “Because it’s a smaller, early-stage ecosystem, there is more interaction with the private sector and regulators.” Additionally, it is simpler to hire teams or construct a group of 100 individuals who are not all from the region in the United Arab Emirates.
VARA published its Full Market Product Regulations on February 7, which include four mandatory, activity-specific rulebooks that establish the guidelines for Dubai-based virtual asset service providers. In September 2021, VARA granted Binance a preparatory minimal viable product license.
