On Monday, based on a news release and announcement from Binance, the Financial Services Regulatory Authority (FSRA) approved three licenses for Binance’s Nest Exchange Limited, Nest Clearing and Custody Limited, and Nest Trading Limited.
Nest Services Limited, which will be renamed Nest Exchange Limited, has been approved as a recognized investment exchange with permission to run a multilateral trading facility. It will host the exchange’s business, including spot and derivatives markets.
Nest Clearing and Custody Limited has been approved as a recognized clearing house with added custody and securities depository permissions, putting it in charge of clearing, settlement, and safekeeping of digital assets.
A third entity, BCI Limited, set to become Nest Trading Limited, holds a broker-dealer license that covers dealing and arranging in investments, asset management, custody arrangements, and money services.
Richard Teng, the co-CEO of Binance, declined to say whether Abu Dhabi is now Binance’s global headquarters when asked by reporters.
“But for all intents and purposes, if you look at the regulatory sphere, I think the global regulators are more concerned with where we are regulated on a global basis,” he said, adding that Abu Dhabi Global Market is where his crypto exchange’s “global platform” will be governed.
Regulatory milestone strengthens Binance’s global compliance push
For Binance, the approval by ADGM represents a strategic pivot toward full compliance and institutional legitimacy. According to the company’s co-CEO, the FSRA license provides regulatory clarity and legitimacy, enabling Binance to support its global operations from ADGM.
“While our global operations remain distributed, leveraging talent and innovation worldwide, this regulatory foundation offers our users peace of mind knowing Binance operates under a globally recognised, gold standard framework,” he said
Regulators and officials see such licensing, along with the arrival of major global exchanges, as a confirmation of their progressive crypto-regulatory approaches. Binance lauded the FSRA’s forward-thinking approach, which safeguards users while fostering innovation.
For the larger region, the decision supports ADGM’s bid to position Abu Dhabi as a leading global hub for regulated cryptocurrency trading and digital-asset services.
New licensing framework positions Abu Dhabi as a rising crypto hub
Binance does not own an official corporate headquarters, so it is not subject to certain tax rules. According to guidance from the FSRA, entities that are permitted to operate regulated activities in the ADGM must have their “mind and management” within the zone, which encompasses all commercial, governance, compliance, surveillance, operations, technical, IT, and human resources functions.
Binance users enjoy further consumer protections and enhanced regulation through being subject to ADGM’s financial services framework, it says. Binance expects to start regulated operations on January 5, 2026.
In an X post on Monday, Teng described this as an “important milestone for Binance,” noting that the company has become the first global exchange to secure regulatory approval from a respected regulator, enabling end-to-end supervision of its international operations and liquidity.
The crypto platform already has a presence in the UAE, having held a virtual asset service provider license in Dubai since April 2024 and received a $2 billion investment from Abu Dhabi-based AI and technology venture firm MGX in March.
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