UAE Probes Binance Over Alleged Third-Party Fund Flows
The UAE is probing Binance over 'third-party' fund flows, according to reports. The investigation comes as Binance has been expanding its presence in the region, with three licenses from Abu Dhabi Global Market and a $2 billion investment from state-backed MGX.
Binance said the investigation was part of routine inquiries into third-party fund flows through a client money account, and that it's working with authorities to establish coordination procedures. The firm added that its employees were never the targets or subjects of these inquiries, and all who provided statements were promptly cleared and released.
The UAE is seen as a global crypto haven due to sector-friendly regulation and initiatives. However, the recent friction highlights a more prickly side of crypto that the UAE has to grapple with as it leads the race to become 'the Wall Street of cryptocurrencies.'