Deribit, a prominent crypto derivatives exchange, is making a significant move by relocating its headquarters from Panama to Dubai. This decision comes on the heels of the exchange obtaining a crucial regulatory approval from the Virtual Asset Regulatory Authority (VARA).
Deribit FZE, the Dubai arm of the Deribit group, has secured a Virtual Asset Service Provider (VASP) license, allowing it to offer spot and derivatives trading services in Dubai. However, the license will only become operational once the exchange meets the remaining conditions and localization requirements mandated by VARA.
With this license in hand, Deribit is poised to cater to institutional and qualified investors in Dubai, while retail clients will continue to be serviced through its Panama-based broker affiliate. John Jansen, co-founder of Deribit, emphasized the significance of this milestone, stating that it underscores the exchange’s commitment to providing a secure, transparent, and innovative platform for its users.
Currently, Deribit stands as the fifth-largest derivatives exchange, boasting a daily trading volume exceeding $2 billion. The approval from VARA and the planned relocation to Dubai highlight the growing appeal of the region as a global crypto hub. This move aligns with Dubai’s aspirations to establish itself as a leading center for financial innovation and security.
VARA, established in March 2022, serves as the primary regulatory body overseeing virtual asset activities in Dubai. The authority has been proactive in granting crypto trading licenses to major exchanges, including industry giant Binance. As Deribit sets its sights on Dubai, the exchange is poised to further solidify its position in the crypto market and expand its reach in the region.
