Binance Secures $2 Billion Investment from MGX Abu Dhabi, Using Stablecoins as Medium

Abu Dhabi-based MGX has made a $2 billion investment in Binance, marking the first institutional investment in Binance's history.

The entire investment was carried out in unidentified stablecoins, which gives MGX a minority stake in Binance and signifies its entry into the cryptocurrency and blockchain industries.

MGX, recognized for its emphasis on AI and cutting-edge technology, stated that the investment aligns with its strategy to back blockchain innovation and finance.

"MGX’s investment in Binance represents our dedication to furthering blockchain’s transformative potential for digital finance," said Ahmed Yahia, Managing Director and CEO of MGX. "As institutional adoption gains momentum, the need for secure, compliant, and scalable blockchain infrastructure has never been more vital."

UAE compliance efforts

Binance aims to bolster its compliance efforts, improve security measures, and foster partnerships with regulators globally with this investment.

Binance (BNB), which employs around 1,000 personnel in the UAE, has established itself as a significant player in the region's crypto landscape, according to its press release. The exchange serves over 260 million registered users and has processed more than $100 trillion in cumulative trading volume.

"This investment by MGX is a significant landmark for the crypto industry and Binance," said Binance CEO Richard Teng. "Together, we are shaping the future of digital finance. Our focus remains on compliance, security, and user protection."

Teng, who previously held the position of CEO of the Abu Dhabi Financial Services Regulatory Authority, played a crucial role in creating one of the world’s first crypto regulatory frameworks.