Abu Dhabi-based tech investor MGX has committed to investing $2 billion in Binance, according to a company statement. Binance is the largest crypto exchange in the world, reporting over 260 million registered users and $100 trillion in cumulative trading volume.
The investment is claimed to be the largest single investment for a crypto firm and will be paid via a stablecoin. This is also said to be the first institutional funding for Binance.
While terms were not revealed, MGX is said to have taken a minority stake in the crypto exchange.
Binance notes that it is active in the UAE, a region that has been supportive of Fintech innovation, including the digital asset ecosystem. Binance also employs about 1,000 of its 5,000 employees in the UAE.
Ahmed Yahia, Managing Director & CEO, MGX, said their nvestment in Binance reflects their commitment to advancing blockchain’s transformative potential for digital finance.
“Binance has long been a driving force in cryptocurrency innovation, from exchange technology and tokenization to staking and payments. Together, we are committed to building a more inclusive and robust digital finance ecosystem.”
Binance CEO Richard Teng called the investment a significant milestone, noting that Binance remains committed to working with regulators worldwide to establish forward-thinking industry policies.
Teng was previously the CEO of the Abu Dhabi Financial Services Authority.