The world’s largest cryptocurrency exchange platform, Binance can now provide its numerous crypto services to citizens of Bahrain after it was licensed for full-fledged operations. The crypto asset service provider license was endorsed by the Cooperation Council for the Arab States of the Gulf (GCC) and was announced by the exchange’s CEO, Changpeng Zhao.
#TeamBahrain.#Binance has been granted the first license for a global crypto-asset provider in The Cooperation Council for the Arab States of the Gulf (GCC) by the Central Bank of Bahrain. pic.twitter.com/Ndnb4xhA5y
— CZ 🔶 Binance (@cz_binance) March 14, 2022
The exchange platform’s boss in a joint statement with the regulatory authorities affirmed that the license from Bahrain is a stepping stone into the journey of it getting fully regulated, and well known globally. The license from the Central Bank of Bahrain (CBB), will strengthen Binance’s hold on the region as it is the first in the Gulf Cooperation Council. It will also allow the continuity of Binance worldwide while pushing forth to abide by local laws.
The trading platform has been the subject of scrutiny from several regulatory bodies across the globe and some outrightly banned Binance from carrying out its services warning citizens that it was unlicensed to operate within their jurisdiction.
The latest authorization from the CBB has enabled Binance to offer several services like trading, management of portfolios, withdrawals of crypto amongst others for Bahrain’s people. Although the western Asian country is not as big compared to other nations in the region, it is known for its incomparable crypto-friendly nature in the Middle East.
Rasheed Al Maraj, Governor of CBB believes payment in cryptocurrencies will enable the CBB to address what he referred to as “inefficiencies in the traditional cross-border payment industry.”
The move by the central bank of Bahrain to license Binance makes the country the center for crypto first before others in the country like Dubai which currently forbids exchange platform from operating in its shores.
In December last year, the exchange company was given temporary authorization from Bahrain’s central bank to perform but had to finalize the application procedure which entails regulatory checks that will shield customers from criminal transactions before they could be completely approved.
The CBB is solely accountable for keeping up the economic and financial stability in the country. It also promotes market invention and enhances the position of the country as a major worldwide financial center, a designation Binance is now benefiting from.