• Deribit, a cryptocurrency futures and options exchange based in Panama City, is planning to relocate its headquarters to Dubai, a more crypto-friendly nation.
• According to a report by Bloomberg, Deribit intends to apply for a Full Market Product license to Dubai’s Virtual Assets Regulatory Authority once the agency gives an update on its regulatory protocols.
• The collapse of FTX and Alameda has accelerated the need for crypto exchanges to get registered to retain global customers.
Deribit, a cryptocurrency futures and options exchange based in Panama City, is looking to expand its reach and relocate its headquarters to the crypto-friendly nation of Dubai. The move comes in the wake of the collapse of FTX and Alameda, which has accelerated the need for cryptocurrency exchanges to get registered in order to retain global customers.
Since its launch in June 2016, Deribit has grown exponentially to offer perpetual, futures, and options contracts on Bitcoin, Ethereum, and many other digital assets. In order to move forward with its plans, Deribit intends to apply for a Full Market Product license to Dubai’s Virtual Assets Regulatory Authority once the agency gives an update on its regulatory protocols.
David Dohmen, chief legal compliance and regulatory officer at Deribit, commented on the planned relocation, stating, “We’ve had a number of clients who have approached us saying that they would like to move away from FTX, and we had to explain to them that we are not regulated, but we are in the process of becoming regulated.”
The relocation to Dubai, if approved, will provide Deribit with an opportunity to become regulated and provide a safe and secure trading platform for its customers. Dubai has recently become an attractive destination for cryptocurrency exchanges, as the nation has been actively working towards creating a regulatory framework for virtual assets and blockchain.
In addition to Dubai, Deribit is also exploring other options for potential relocation, including Singapore, South Korea, and the British Virgin Islands, in order to meet the needs of its customers. As such, the company has been actively engaging with regulators in these countries in order to launch its products in a regulated environment.
Although the relocation process is still in its early stages, Deribit has already started to make the necessary preparations to ensure a smooth transition to its new home. With the relocation, the company hopes to become a leading player in the crypto-space and provide its customers with the best possible trading experience.