Bitcoin exchange Binance has received principal approval from the Central Bank of Bahrain to work as a cryptocurrency service provider.
#Binance has received in-principle approval as a crypto-asset service provider in the Kingdom of Bahrain.https://t.co/9GvuYVOYvt
– Binance (@binance) December 27, 2021
According to the statement, the company has filed an application as part of plans to become a “fully regulated centralized cryptocurrency exchange.”
Binance also registered Binance Canada Capital Markets in Canada as a money services provider.
Boxing day. 🇨🇦 https://t.co/XmnyQIODLT
– CZ 🔶 Binance (@cz_binance) December 27, 2021
Against this backdrop, CEO Changpeng Zhao published an article entitled Why Binance Adopts Regulation.
»CZ FAQ 5 – Why Binance Embraces Regulations | #Binance Blog https://t.co/7Jc5CU8B2b
– CZ 🔶 Binance (@cz_binance) December 27, 2021
“Having effective regulations that protect consumers while encouraging innovation is essential to the growth of the industry,” he wrote.
According to Zhao, industry players need to work with banks to accelerate the massive adoption of cryptocurrencies.
“Today 99.9% of money is still in fiat. And 5% of people who own cryptocurrency tend to keep a small part of their fortune in it. For the crypto industry to grow, we need fiat money both in and out of gateways. We need to build bridges. To do this, we need integration with traditional financial systems, banks, payment services, etc. And this requires licenses, “said the head of Binance.
In November, the exchange published the “10 Fundamental Rights of Crypto Users” document as a basis for developing cryptocurrency regulation.
Recall that in December, Binance signed a memorandum of understanding with the Dubai World Trade Center Administration with the aim of creating an industry hub in the emirate.
