Binance secures in-principle approval to operate from Central Bank of Bahrain

The Central Bank of Bahrain has granted Binance, the world's largest cryptocurrency exchange by trading volumes, an in-principle agreement to become a crypto-asset service provider in the kingdom.

The CBB's move makes it the first regulator in the Middle East and North Africa region to grant such an approval to a Binance entity.

The exchange's licence application is part of its plans to become a fully-regulated centralised cryptocurrency exchange.

Dubai World Trade Centre and Binance to establish hub for global virtual assets

Trading volumes in Bahrain's cryptocurrency platform Rain cross $1bn mark

"The in-principle approval from CBB still requires Binance to complete the full application process, which is expected to be completed in due course," Binance said on Monday.

Binance, which has its headquarters in the Cayman Islands and Seychelles, has faced increased scrutiny from the regulators in the US, UK, Europe and China, largely due to its opaque operating structure. However, the company has been trying to improve its relationship with regulators and has been on a hunt for another location for its global headquarters.

Binance has also sought to expand its presence in the Middle East as it seeks to cash in on the rising acceptance of cryptocurrencies in the region.

The company signed a preliminary agreement with the Dubai World Trade Centre Authority last week to develop an industry hub for global virtual assets in the emirate. The development came a day after the DWTC said it will be setting up a specialised crypto zone, while becoming a regulator for virtual assets and cryptocurrencies.

Bahrain has been a fast mover in adopting financial technology. It issued draft rules to regulate cryptocurrencies in December 2018, which were finalised two months later. The country also provided licences to digital assets exchanges CoinMena and Rain Management earlier this year.

Changpeng Zhao, chief executive of Binance, left and Gabriel Abed, Barbados's ambassador to the UAE, during a panel discussion at Gitex Global in Dubai in October. Photo: Leslie Pableo / The National

These come as crypto adoption in the region picks up pace.

Rain Management said that its trading volumes grew 20-fold during the first half of 2021 to more than $1 billion for the first time.

Binance Holdings is also reportedly in discussions with Indonesia’s richest family, the Hartonos, and state-owned telecom operator PT Telkom Indonesia to set up a cryptocurrency trading exchange, Bloomberg reported. The move would help spur wider adoption of cryptocurrencies in the South-East Asian nation.

The market capitalisation of cryptocurrencies is at almost $2.4 trillion as of Monday, according to CoinMarketCap. Bitcoin, the world's first and biggest cryptocurrency, regained some ground above $50,000 after dropping in the past weeks.

THE BIO

Age: 33

Favourite quote: “If you’re going through hell, keep going” Winston Churchill

Favourite breed of dog: All of them. I can’t possibly pick a favourite.

Favourite place in the UAE: The Stray Dogs Centre in Umm Al Quwain. It sounds predictable, but it honestly is my favourite place to spend time. Surrounded by hundreds of dogs that love you - what could possibly be better than that?

Favourite colour: All the colours that dogs come in

Key facilities

Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
Premier League-standard football pitch
400m Olympic running track
NBA-spec basketball court with auditorium
600-seat auditorium
Spaces for historical and cultural exploration
An elevated football field that doubles as a helipad
Specialist robotics and science laboratories
AR and VR-enabled learning centres
Disruption Lab and Research Centre for developing entrepreneurial skills

Opening day UAE Premiership fixtures, Friday, September 22:

Dubai Sports City Eagles v Dubai Exiles
Dubai Hurricanes v Abu Dhabi Saracens
Jebel Ali Dragons v Abu Dhabi Harlequins

RESULT

Manchester City 1 Sheffield United 0
Man City: Jesus (9')

Tax authority targets shisha levy evasion

The Federal Tax Authority will track shisha imports with electronic markers to protect customers and ensure levies have been paid.

Khalid Ali Al Bustani, director of the tax authority, on Sunday said the move is to "prevent tax evasion and support the authority’s tax collection efforts".

The scheme’s first phase, which came into effect on 1st January, 2019, covers all types of imported and domestically produced and distributed cigarettes. As of May 1, importing any type of cigarettes without the digital marks will be prohibited.

He said the latest phase will see imported and locally produced shisha tobacco tracked by the final quarter of this year.

"The FTA also maintains ongoing communication with concerned companies, to help them adapt their systems to meet our requirements and coordinate between all parties involved," he said.

As with cigarettes, shisha was hit with a 100 per cent tax in October 2017, though manufacturers and cafes absorbed some of the costs to prevent prices doubling.

MATCH INFO

Barcelona 2
Suarez (10'), Messi (52')

Real Madrid 2
Ronaldo (14'), Bale (72')