Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
Cryptocurrency exchange Binance is all set to become a fully regulated ADGM entity after securing three separate licences required for its operations, the company said in a post ahead of the start of Abu Dhabi Finance Week on Monday.
According to Binance, its activities will be reorganised to align fully with the regulatory framework of ADGM’s Financial Services Regulatory Authority (FSRA). The company said it has “received full regulatory authorisation to operate its global platform under a comprehensive, internationally-recognised regulatory framework,” describing the approval as an important milestone in its efforts to build a trusted and transparent digital-asset business.
Under the FSRA-approved structure, all Binance services will transition on January 5, 2026 to three ADGM-licensed entities, each with distinct responsibilities.
The statement said Nest Exchange Services Limited has been licensed as a Recognized Investment Exchange with permission to operate a multilateral trading facility, handling all spot and derivatives exchange activities.
Nest Clearing and Custody Limited has been licensed as a Recognized Clearing House with permission to provide custody, acting as the central counterparty for on-exchange derivative trades and safeguarding user digital assets.
Nest Trading Limited has been approved as a Broker-Dealer, responsible for off-exchange services including OTC trading, Convert and Earn products.
Binance said the new structure “mirrors the regulatory architectures used in traditional finance,” separating exchange, clearing and brokerage functions to strengthen oversight and risk management. It added that the restructuring ensures “every part of our operations, from matching trades to storing assets, runs under precise, purpose-built regulatory permissions.”
To implement the transition, Binance announced updates to its contractual arrangements with users. Existing rights and obligations under Binance.com’s Terms of Use will be automatically “novated” to the new ADGM entities, as permitted under the current terms.
The move also includes updated product-specific terms and a revised Privacy Notice, effective from January 5, 2026. Each ADGM-regulated entity will act as the data controller for the services it provides, the statement said.
Operational changes for users will be minimal, Binance emphasised. According to the post, users will continue accessing the platform with their existing login credentials, and balances, trading history and functionality will remain unchanged.
Open positions, especially on-exchange derivatives, will be transferred for clearing to Nest Clearing and Custody Limited as part of the new framework.
The company stressed that the changes “relate to regulatory structuring and are not meant to alter the way that you interact with the platform", adding that available products and services will remain largely the same but will now be provided by the appropriate ADGM-licensed entities.
