EU’s 5AMLD Forces Deribit to Move to Panama


Deribit, a cryptocurrency options and futures trading platform, has decided to move its base from the Netherlands to Panama.

Announced on Thursday, the platform will officially register as DRB Panama Inc. on February 10 and will be a 100 percent subsidiary of the Dutch entity – Deribit B.V.

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Though crypto platforms are not regulated by any specific framework in Europe, the Netherlands is mulling to adopt the newly passed Fifth Anti-Money Laundering Directive (5AMLD). The crypto company believes that the new regulations are “very strict” and will be imposed on digital asset businesses too.

“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,” the exchange stated.

The company cited these upcoming regulations as the driving force behind its relocation decision.

The decision to move to Panama will also give its clients an easily accessible trading platform at very low costs, per the announcement.

“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,” Deribit added.

The company also clarified that though registered as a new entity, its leadership and team will remain the same.

Tightening KYC rules

Moreover, the exchange will also introduce additional know-your-customer (KYC) requirements for the traders on the platform using the services of Jumio and Chainalysis. With two levels of KYC, the existing customers will be capped with a maximum deposit of 1 Bitcoin or 50 Ether per 24 hours, unless they furnish necessary identification.

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