Deribit, a crypto derivatives platform, has announced that it will move away from its Amsterdam base. According to an official statement from the company, the move was necessitated by regulatory expectations.
The announcement specifically says that as of February 10, 2020, Deribit.com will be operated by DRB Panama Inc., which is a subsidiary of the company.
The statement further explains that even though it hasn’t happened, the Netherlands is looking to adopt a “very strict implementation of new EU regulations.” The new regulations will affect cryptocurrency companies and will force them to demand a lot more information from customers.
“We believe that crypto markets should be freely available to most, and the new regulations would put too high barriers for the majority of traders, both – regulatory and cost-wise. The implementation of these changes would greatly affect the exchange and its customers.”
The announcement also adds that leadership will be unchanged and John Jansen will remain as CEO. However, everything including the company’s operational platform as well as all open client positions, fees, wallets, trading history and everything else, will now be handled by DRB Panama.
Deribit will also be altering its KYC requirements from the same date. Specifically, customers will be assigned to a “Level 0”. Those who would like to upgrade to a “Level 1” would have to submit more information. The Level 1 customers will have access to unlimited withdrawals as well as a few other features.
Last year, Kryptomoney reported that institutional crypto trading platform Caspian had integrated its platform with Deribit. The integration will help offer both options and futures trading.
Image Credits: Unsplash