Binance Secures Full Regulatory Authorization in Abu Dhabi, Establishes New Operational Structure

6 hour ago 16 sources positive

Binance has achieved a landmark regulatory milestone by obtaining comprehensive licensing approval from Abu Dhabi's Financial Services Regulatory Authority (ADGM FSRA). The authorization, announced on December 7, 2025, grants Binance the right to operate its global platform, Binance.com, under a complete market infrastructure stack within the Abu Dhabi Global Market (ADGM). This makes Binance the first cryptocurrency exchange to secure such a full suite of licenses in the jurisdiction.

The new regulatory framework will take effect on January 5, 2026, and requires Binance to restructure its operations through three separate licensed entities, each with distinct functions. Nest Exchange Services Limited will operate as a recognized investment exchange, handling spot and derivatives trading. Nest Clearing and Custody Limited will function as a recognized clearing house, acting as the central counterparty for derivatives and holding custody of user digital assets. Nest Trading Limited will serve as a broker-dealer for off-exchange services, including OTC trading.

According to Binance Co-CEO Richard Teng, "This license provides regulatory clarity and legitimacy, enabling Binance to support its global operations from ADGM... this regulatory foundation offers our users peace of mind knowing Binance operates under a globally recognised, gold standard framework." He further emphasized that ADGM is "one of the most respected financial regulators globally," and the license demonstrates Binance meets the highest international standards for compliance and risk management.

The structural separation mirrors traditional financial market architecture and is designed to enhance oversight. User contracts will automatically transition from Nest Services Limited to the three new entities via a novation process outlined in the terms of service. Binance has stated that users will maintain access with their current credentials, with balances and trading functionality continuing uninterrupted.

This development positions ADGM as Binance's effective regulatory base and primary operational anchor, providing a level of legal clarity the exchange has struggled to secure in markets like the United States and parts of Europe. The move aligns with accelerating regulatory momentum in the UAE, which recently enacted a new federal law imposing steep penalties on unlicensed crypto activity across all free zones.