Copy link
Increase text size
Decrease text size
Link copied

Crypto derivatives exchange Deribit to move out of the Netherlands to dodge 5AMLD regulations

Deribit Homepage Screenshot (TokenPost)

Fri, 10 Jan 2020, 09:43 am UTC

Bitcoin futures and options exchange Deribit has announced that it will be moving to Panama and will be operated by DRB Panama Inc., a wholly-owned subsidiary of its Dutch operator Deribit B.V., starting February 10.

The exchange’s move comes ahead of the adoption of "very strict implementation" of new EU regulations that also apply to crypto companies (5AMLD) in the Netherlands. In an online post, Deribit said:

“If Deribit falls under these new regulations, this would mean that we have to demand an extensive amount of information from our current and future customers.”

EU member states are required to implement the Fifth Anti-Money Laundering Directive (5AMLD) into their national legislation on January 10, 2020. Among other things, the regulation is intended to prevent risks associated with the use of virtual currencies for terrorist financing.

The entities providing services such as holding, storing and transferring virtual currencies would be required to “identify their customers and report any suspicious activity to the Financial Intelligence Units,” according to 5AMLD factsheet.

Deribit said that the implementation of these changes would greatly affect the exchange and its 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,” it said. “Therefore, we have decided to operate the Platform from Panama. The team and leadership will remain the same, with John Jansen as the CEO.”

In addition, Deribit announced that it will be expanding its KYC requirements as of Feb.10. It said that existing clients will be registered as Level 0 clients and to apply for Level 1 services (unrestricted withdrawals, portfolio margining, etc.), they would have to provide the exchange with passport or some government ID.

TokenPost | [email protected]

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
  • Bitcoin (BTC) $8,900.92 (+2.17%)
  • Ethereum (ETH) $171.10 (+4.37%)
  • XRP (XRP) $0.224600 (+0.84%)
  • Bitcoin Cash (BCH) $370.65 (+13.26%)
  • Bitcoin SV (BSV) $283.50 (-10.74%)
  • Bitcoin (BTC) $8,900.92 (+2.17%)
Jan 17, 2020 (Friday)
Crypto Technicals: Major Cryptocurrency Support Resistance Levels
Crypto Technicals: Major Cryptocurrency Daily Technical Outlook
Crypto dealer SFOX announces new service for investors and wealth managers
Binance in talks with TaoTao and Z Corporation for strategic partnerships in Japan
Crypto Technicals: NEO/USD set to scale new highs, 200-DMA breakout confirms bullish trend
Crypto exchange Gemini launches own insurance company "Nakamoto"
eToro, Radar and OKCoin join Coinbase-led Crypto Rating Council
Huobi joins Blockchain Turkey Platform (BCTR)
U.S. authorities urged to investigate crypto use in funding domestic terrorism and extremism
Calibra, Anchorage, Bison Trails executives elected to Libra’s new technical steering committee
Crypto Technicals: LTC/USD bounces off 5-DMA support, eyes next major hurdle at 200-DMA (65.43)
U.S. lawmakers seek tax exemption for crypto transactions under $200
Former CFTC Chair launches Digital Dollar Project in partnership with Accenture
Crypto Technicals: ETH/USD resumes upside after brief pause, eyes 23.6% Fib at 174.83
Uzbekistan to launch national mining pool and licensed cryptocurrency exchange
Crypto Technicals: BTC/USD extends sideways below 200-DMA, bias bullish
Garanti BBVA conducts real-time blockchain transfers using Takasbank's BiGA Platform
Jan 16, 2020 (Thursday)
Crypto Technicals: Major Cryptocurrency Support Resistance Levels
Crypto Technicals: Major Cryptocurrency Daily Technical Outlook
Litecoin Foundation, BlockFi partner to bring more liquidity to users
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.