• Abu Dhabi-backed MGX invests USD 2B in Binance, becoming a minority shareholder through a stablecoin-based deal.
• The investment marks MGX’s first step into blockchain and aligns with the UAE’s push to become a digital asset hub.
• MGX, chaired by Sheikh Tahnoon Bin Zayed, has also backed OpenAI and Elon Musk’s xAI, expanding its tech investments.

Binance

What happened? Abu Dhabi backed investment group MGX invested USD 2 billion in Binance. Furthermore, MGX will be a minority shareholder after making the investment in stablecoin, a type of cryptocurrency pegged to a flat currency such as the dollar. 

“MGX’s investment in Binance reflects our commitment to advancing blockchain’s transformative potential for digital finance,” said Ahmed Yahia, managing director and CEO of MGX.

Why does this matter? This investment aims to be a step towards adoption and reinforcing blockchain’s role in global finance. Additionally, this investment is MGX’s first entry into blockchain and cryptocurrency, aiming to be part of a broader strategy to support blockchain’s potential impact on society.

With the investment, the UAE aims to become a hub for digital assets including crypto. Additionally, recently it has been working towards attracting some of the biggest firms to build locally as part of its plan to diversify its economy. 

MGX 

Who are they? Based in the UAE, MGX is an AI and advanced technology investor. It is worth noting that MGX has also invested in OpenAI and Elon Musk’s xAI. The company is chaired by Sheikh Tahnoon Bin Zayed Al Nahyan, National Security Advisor of the UAE. Additionally, Abu Dhabi’s state-owned wealth fund Mubadala is a partner in MGX.

Meanwhile, founded in 2017, Binance is a company operating a platform for cryptocurrency exchange such as Bitcoin, Ethereum and others. 

Binance CEO, Richard Teng, said, “This investment by MGX is a significant milestone for the crypto industry and for Binance. Together, we are shaping the future of digital finance.”