Binance’s Abu Dhabi branch has withdrawn its application with the local financial watchdog, a decision it asserts is not linked to its recent settlement in the United States. On December 7, a representative from Binance informed Cointelegraph that the cryptocurrency exchange had decided against pursuing its application with the Financial Services Regulatory Authority of Abu Dhabi after evaluating its worldwide licensing requirements. This application, retracted by BV Investment Management in November, would have permitted Binance to operate a collective investment fund.
The representative emphasized that this move was independent of Binance’s $4.3 billion settlement with U.S. authorities. In this settlement, Changpeng “CZ” Zhao admitted guilt to a felony charge and resigned as CEO. Richard Teng, previously in charge of Binance’s regional markets, replaced CZ and described to Cointelegraph how the exchange had fundamentally changed post-settlement.
Binance Limited, as per its website, retains authorization to offer crypto custody financial services within the Abu Dhabi Global Market. The spokesperson mentioned that Binance intends to keep collaborating with international regulators, focusing on expansion efforts in Dubai and other nations. On November 21, U.S. officials announced a settlement with Binance and CZ, imposing a $4.3 billion fine. Zhao pleaded guilty to a felony for failing to implement an effective Anti-Money Laundering program at Binance, breaching the U.S. Bank Secrecy Act.
As of the report’s release, Zhao was out on bail in the U.S., awaiting a court decision on a request to allow him to return to his family in the United Arab Emirates. He faces a potential 18-month prison sentence at his sentencing in February.
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