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News/Binance Secures Historic $2 Billion Crypto Investment from Abu Dhabi’s MGX

Binance Secures Historic $2 Billion Crypto Investment from Abu Dhabi’s MGX

Van Thanh Le

Mar 12 2025

2 hours ago2 minutes read
Anime-style Binance robot launching token in a blockchain marketplace

MGX Makes Landmark Move into Blockchain with Binance Stake

Binance has secured a record-breaking $2 billion investment from Abu Dhabi-based AI and advanced technology firm MGX, marking the largest single investment ever made into a cryptocurrency company. The deal, fully paid in cryptocurrency, grants MGX a minority stake in Binance and signals the firm’s strategic move into blockchain and digital assets. Binance sees this as a transformative step in driving broader digital asset adoption and reinforcing blockchain’s role in global finance, while MGX aims to accelerate innovation at the intersection of AI, blockchain, and finance.

Richard Teng, Binance’s CEO, called the investment a major milestone for both the exchange and the broader crypto industry, emphasizing Binance’s long-standing commitment to compliance, security, and user protection. He stressed that the partnership with MGX will help shape the future of digital finance, creating a more inclusive and sustainable ecosystem. Teng reiterated Binance’s continued efforts in working with global regulators to establish responsible and transparent crypto policies. 

MGX CEO and Managing Director Ahmed Yahia highlighted his firm’s belief in blockchain’s potential to revolutionize digital finance, pointing to Binance’s strong track record in exchange technology, tokenization, staking, and payments. Yahia underscored the importance of a secure and scalable blockchain infrastructure, positioning MGX’s move as a long-term investment in the sector.

Despite the magnitude of the investment, BNB’s market price showed little immediate reaction, trading at approximately $566 with a 24-hour trading volume of $1.75 billion. The stable price action suggests that while the investment underscores Binance’s strength, market participants may be awaiting further developments before making major moves.

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Binance also introduced a new token review framework under its Alpha platform, designed to filter out unqualified tokens based on both quantitative and qualitative criteria. Quantitative factors include trading volume stability, liquidity depth, frequency of on-chain transactions, and token holder distribution, while qualitative aspects focus on project team credibility, regulatory compliance, and community engagement. Tokens that fail to meet these standards will be delisted, reinforcing Binance’s efforts to maintain quality within its ecosystem.

Launched in December 2024, Binance Alpha serves as an early-stage project discovery platform within Binance’s Wallet service, highlighting five new crypto projects daily. Currently, tokens listed on Binance Alpha boast a total market capitalization of $6.4 billion, reflecting a 3.7% increase in the past 24 hours alongside a trading volume of $1.4 billion. 

The rapid expansion of the crypto market, with token numbers soaring from 6 million in early 2023 to over 12.5 million, has prompted exchanges to refine their listing procedures. Binance introduced a community vote mechanism on March 9, 2025, allowing users to influence token listings and delistings, although final approval remains with the exchange. 

Meanwhile, Coinbase CEO Brian Armstrong has advocated for a shift from an "allow list" to a "block list" approach to manage the surge in new tokens. The cooling of the memecoin sector, where new launches on Pump.fun have plummeted 80% since peak levels in February, further signals evolving market dynamics.

This article has been refined and enhanced by ChatGPT.

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