bitcoin
Bitcoin (BITCOIN)
$92,947 -0.81%
ethereum
Ethereum (ETHEREUM)
$3,271 1.57%
binancecoin
BNB (BINANCECOIN)
$911.28 0.68%
solana
Solana (SOLANA)
$139.85 1.61%
ripple
XRP (RIPPLE)
$2.27 -4.94%
shiba-inu
Shiba Inu (SHIBA-INU)
$0.000009 -3.45%
pepe
Pepe (PEPE)
$0.000007 -4.24%
bonk
Bonk (BONK)
$0.000012 -5.44%
bitcoin
Bitcoin (BITCOIN)
$92,947 -0.81%
ethereum
Ethereum (ETHEREUM)
$3,271 1.57%
binancecoin
BNB (BINANCECOIN)
$911.28 0.68%
solana
Solana (SOLANA)
$139.85 1.61%
ripple
XRP (RIPPLE)
$2.27 -4.94%
shiba-inu
Shiba Inu (SHIBA-INU)
$0.000009 -3.45%
pepe
Pepe (PEPE)
$0.000007 -4.24%
bonk
Bonk (BONK)
$0.000012 -5.44%
bitcoin
Bitcoin (BITCOIN)
$92,947 -0.81%
ethereum
Ethereum (ETHEREUM)
$3,271 1.57%
binancecoin
BNB (BINANCECOIN)
$911.28 0.68%
solana
Solana (SOLANA)
$139.85 1.61%
ripple
XRP (RIPPLE)
$2.27 -4.94%
shiba-inu
Shiba Inu (SHIBA-INU)
$0.000009 -3.45%
pepe
Pepe (PEPE)
$0.000007 -4.24%
bonk
Bonk (BONK)
$0.000012 -5.44%
Disclosure
Cryptocurrency trading is speculative and your capital is at risk when you trade. We may earn affiliate commissions from some of the products on this page - at no extra cost to you.
Binance Launches ADGM-Regulated Framework for Global Operations

Highlights:

  • Binance has launched the ADGM-regulated framework with three licensed entities.
  • All on-exchange trades are now cleared by Nest Clearing and Custody Limited.
  • User experience remains the same despite regulatory changes.

The largest crypto exchange in the world, Binance, has transitioned to a new model under the Abu Dhabi Global Market (ADGM) regulatory framework. The move presents a more transparent risk-managed structure regarding its global services. This shift was preceded by earlier announcements and licensing approvals by the ADGM Financial Services Regulatory Authority (FSRA).

Advertisement

Banner

According to the statement, specific operations in Binance are currently handled by three new entities, which are fully licensed and regulated by the ADGM. All exchange activities are carried out by Nest Exchange Limited. This involves spot and derivatives trading in a Multilateral Trading Facility. Nest Clearing and Custody Limited deals with clearing and asset custody. Additionally, Nest Trading Limited manages off-exchange activities, such as OTC trading and Convert.

Binance Restructures Under ADGM Oversight

The restructuring is based on Binance’s need to comply with international regulatory standards. The new model improves oversight, governance, and protection for users, according to its FAQ. As a result, Binance revised its legal terms and contracts in response to these changes. The interaction between users and each entity is now determined by the type of service sought. The Terms of Use and Privacy Notice were also updated to fit the new structure. Further use of the platform acknowledges the agreement of these revised documents.

Nest Clearing and Custody Limited now performs the clearinghouse role of all on-exchange derivatives. It is also used as a custodian of users’ digital assets. Some of the assets, such as those under legal order or linked with Canadian withdrawal-only accounts, remain with Nest Exchange Limited. These limited restrictions do not have any effect on the overall framework.

The ADGM design resembles traditional financial market structures. All entities have independent obligations, which minimize risks and enhance compliance. This also involves each acting as an independent data controller of the services that they offer.

User Experience Remains Consistent

Despite these new structural changes, Binance confirmed that there is no change in the interaction of the users with the platform. Account balances, login credentials, and UID remain intact. The trading functionality is not affected, and users are able to access all the existing services.

However, services are currently being provided by the authorized licensed entities under ADGM rules. Products are still available, but they might have changed their assigned provider. According to Binance, current user orders and positions will be transferred to the relevant entity, where necessary. The platform further highlighted that the move presents a stronger regulatory base for future operations. The FSRA license provides global credibility and compliance assurance. Binance also noted the global reputation of ADGM for being progressive in regulating digital assets.

This regulatory compliance demonstrates how Binance is determined to work under mature financial regulation. It also indicates the interest of the platform in risk management and user asset protection. There were also no observed changes to services under Binance’s VARA and SCA licenses in Dubai.

The update comes shortly after the exchange warned crypto projects about fake agents purporting to handle token listings. Binance found several individuals and organizations associated with these schemes. It encouraged the use of official listing forms and also provided rewards of up to $5 million for verified fraud tips.

eToro Platform

Best Crypto Exchange

  • Over 90 top cryptos to trade
  • Regulated by top-tier entities
  • User-friendly trading app
  • 30+ million users
9.9

5 Stars

eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong.

Advertisement

Banner

Advertisement

Banner

Advertisement

Banner