Deribit, a prominent cryptocurrency exchange specializing in Bitcoin trades, has made the strategic decision to relocate its headquarters to Dubai. This move comes after Deribit FZE, the Dubai subsidiary of the Deribit group, obtained a Virtual Asset Service Provider (VASP) license from Dubai’s Virtual Asset Regulatory Authority (VARA).
The acquisition of the VASP license is a significant milestone for Deribit, as it now has the ability to offer a wide range of crypto trading services in Dubai, including spot trading and derivatives such as futures and options. However, the license comes with the condition that the exchange must meet all the prerequisites and localization requirements set by VARA before becoming operational. Deribit is currently in the process of finalizing its launch plans and will announce the terms and timing for commencing operations under the newly licensed entity.
The decision to move its global headquarters from Panama to Dubai demonstrates Deribit’s confidence in Dubai’s regulatory environment and its commitment to establishing itself as a leading global center for virtual assets. This relocation coincides with the appointment of Luuk Strijers, the former chief commercial officer, as the new CEO, signaling a new era of leadership and strategic direction for the exchange.
Once operational, Deribit aims to cater to institutional and qualified investors in Dubai while continuing to serve its retail clients through its broker affiliate in Panama. This dual approach allows the exchange to leverage Dubai’s strategic position in the global market, attracting sophisticated investors while ensuring continuity for its existing clientele.
The acquisition of the VASP license and the subsequent relocation highlight Deribit’s ambition to enhance the quality and governance standards of its platform. The company has already achieved significant milestones, such as obtaining ISO and SOC2 certification and appointing non-executive directors, solidifying its position in the crypto options market and earning the trust of its clients.
Deribit’s move to Dubai is not just a change of address; it represents a broader vision to tap into emerging markets and regulatory landscapes that are favorable to cryptocurrency trading. Dubai’s progressive stance on virtual assets and its efforts to establish a comprehensive regulatory framework make it an ideal location for crypto businesses seeking to expand their operations and access a wider range of investors.
As Deribit prepares to launch its services under the new regulatory framework, the company is poised to play a pivotal role in shaping the future of crypto trading in the region. This move also aligns with Dubai’s ambition to become a global hub for virtual assets, attracting innovative businesses and investors from around the world.
Deribit’s transition to Dubai, supported by the crucial approval from VARA, marks a significant phase in the company’s growth and the broader crypto market. As Deribit gears up to commence operations under the new license, the crypto community eagerly watches to see how this move will influence market dynamics and regulatory practices in the virtual asset space.
