Leading crypto derivatives exchange Deribit has obtained a conditional Virtual Asset Service Provider (VASP) license from Dubai's Virtual Asset Regulatory Authority (VARA). As a significant move, Deribit FZE, the Dubai branch of the Deribit group, has become the first crypto derivatives exchange to receive regulatory approval from VARA. This development has substantial implications for the firm and the wider crypto community.

The VASP license granted to Deribit FZE covers virtual asset exchange services, including both spot and derivatives trading, under specific conditions that must be met for operational approval. The firm will undertake its official launch post the completion of final formalities to secure full VARA approval.

Furthermore, Deribit will relocate its global headquarters to Dubai, United Arab Emirates, providing crypto services to institutional and qualified investors upon commencing corporate operations in the region. Retail investors can continue to access services through a broker affiliate in Panama. Notably, Luuk Strijers, the current chief commercial officer, has been promoted to the role of CEO at Deribit. Additionally, Dennis Dijkstra, former CEO of Flow Traders, and industry expert Willem Meijer will join as non-executive directors to advise on the company's long-term growth strategy.

Luuk Strijers expressed his confidence in VARA's forward-thinking regulatory framework, emphasizing the trust placed in Deribit by its clients in the crypto options market. The establishment of VARA has signaled a significant crypto adoption wave in Dubai following the entry of prominent exchanges like Binance, Bybit, and OKX into the region.

Given Dubai's crypto-friendly regulations and thriving trading environment, it has emerged as a premier destination for the global crypto market. Plans are underway for Dubai to host the Blockchain Life Forum 2024, a prominent event for the crypto community, on April 15-16, further solidifying its position as a key hub for blockchain and digital assets.