The world’s largest crypto exchange, Binance, is on the verge of signing a Memorandum of Understanding (MoU) with the Dubai government on crypto-related activities, according to sources with knowledge of the matter, Business Times reports.
While no clear statements have been made about the discussion, Dubai is considered to be one of the likely destinations for Binance’s global headquarters. This is especially because the exchange’s CEO Changpeng “CZ” Zhao bought his first home in the city in October this year.
Describing it as “very pro-crypto”, CZ said in an interview with Bloomberg that his decision to buy a house demonstrates Binance’s commitment to the city. While Singapore and France have also been considered as potential locations for Binance’s global headquarters, the turn of events could be suggesting that the UAE is a preferred location.
Dubai’s openness towards crypto attracts Binance
Binance is one of the exchanges that have come under strict compliance scrutiny in many countries lately.
While the exchange is working to resolve issues in some countries such as the UK, Dubai has demonstrated an openness towards its services, which could be why it is attracted to the city.
Finbold reported two months ago that the city’s police teamed up with BitOasis, a local crypto firm to educate the people about safety in trading crypto. This was a result of the rising cases of crypto fraud.
The reaction was in stark contrast to those of other nations, where cryptocurrency has received largely negative attention rather than official backing to ensure the safety of investors.
Moreover, as the interest in digital assets within the region grows, the CEO and Managing Director of Mubadala Investment Company, Khaldoon Al Mubarak, in a recent interview said the fund will be investing in cryptocurrencies.
Mubadala is a $240 billion UAE wealth fund with headquarters in Abu Dhabi, UAE.