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Cryptopolitan 2025-03-12 15:53:52

Abu Dhabi’s MGX invests $2B in Binance, the largest crypto investment ever

Binance just secured a $2 billion investment from MGX, an Abu Dhabi-based AI and tech investment giant, according to a press release by the exchange today. The deal, paid entirely in stablecoins, is now the largest single investment ever in crypto and the first institutional investment in Binance’s history, and MGX has also acquired a minority stake in the exchange. This investment comes as Binance continues to dominate the global crypto market. With 260 million users, Binance claims it has processed more than $100 trillion in trades. It remains the largest exchange by trading volume, outpacing the next many competitors combined. Binance has expanded heavily in the UAE and now has 1,000 employees based there. MGX and Binance say they share a vision This is the first time ever that Binance is accepting money from an institutional investor. MGX CEO Ahmed Yahia explained why they made the decision to get into crypto, saying: “MGX’s investment in Binance reflects our commitment to advancing blockchain’s transformative potential for digital finance. As institutional adoption accelerates, the need for secure, compliant, and scalable blockchain infrastructure and solutions has never been greater.” This investment gives Binance not just cash, but a powerful new ally in Abu Dhabi’s expanding tech empire. Richard Teng, Binance’s CEO, called it a major moment for the exchange and the entire crypto industry as a whole. In the press release, Richard said: “Our goal is to build a more inclusive and sustainable ecosystem, with a strong focus on compliance, security, and user protection. Binance remains committed to working with regulators worldwide to establish transparent, responsible, and forward-thinking policies for the crypto industry.” Changpeng ‘CZ’ Zhao, Binance’s founder, also commented on the deal via a post on X, where he said: “MGX, an Abu Dhabi sovereign wealth fund, invests $2 billion in Binance for a minority stake. The transaction will be 100% in crypto (stablecoins), marking it the largest investment transaction done in crypto to date. This is also the first institutional investment Binance has taken. Onwards… Build!” Meanwhile, MGX has also been funding Donald Trump’s $100 billion AI initiative, adding another layer to its involvement in technology and global finance. It has backed OpenAI, Elon Musk’s xAI, and Databricks Inc., increasing its influence in artificial intelligence. The company was part of the $100 billion “Stargate” project in January, alongside SoftBank, Oracle, and OpenAI. Tahnoun bin Zayed Al Nahyan, MGX’s board chairman, is the Deputy Ruler of Abu Dhabi and UAE’s National Security Advisor. Last September, MGX partnered with BlackRock and Microsoft to launch a $30 billion plan for building data centers and energy infrastructure. Cryptopolitan Academy: Want to grow your money in 2025? Learn how to do it with DeFi in our upcoming webclass. Save Your Spot

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