Abu Dhabi-based Virtual asset platform M2, has secured a Financial Services Permission (FSP) license from the Abu Dhabi Global Market (ADGM).
The license will enable M2 to operate a multilateral trading facility and offer custody services to UAE residents.
The ADGM’s license will allow M2 to offer institutional and retail clients in the UAE the ability to buy, sell and maintain custody of virtual assets such as such as Bitcoin (BTC) and Ethereum (ETH), the regulator said in a statement.
Stefan Kimmel CEO – M2
“The process of obtaining the license is the first step on our journey and we will remain in close dialogue with ADGM to ensure transparency around the custody of client assets. Over the past five years the ADGM regulatory framework has established clear rules for those operating in the virtual assets sector and M2 will uphold the highest standards to reflect their vision as the UAE continues to affirm its reputation as a global leader in this space.”
The M2 platform is set to launch later this year, subject to regulatory approvals. Growing the M2 product offering beyond launch, the platform intends to increase the number of assets and services offered to include derivatives along with a market-leading yield product, ADGM said.
In November 2022, the world’s biggest cryptocurrency exchange, Binance, received an FSP from the ADGM.
In July 2023, Rain ADGM also received an FSP from the ADGM. Rain ADGM’s Bahrain-based affiliate, Rain Management, became the first licensed virtual assets service provider in the Middle East in 2019 and is regulated by the Central Bank of Bahrain.
