Deribit FZE, the Dubai-based subsidiary of the global leading cryptocurrency options exchange Deribit, has announced that it has obtained a conditional virtual asset service provider (VASP) license. This license allows Deribit FZE to operate as a virtual asset exchange for spot and derivatives trading, but it remains non-operational until all regulatory requirements and conditions from Dubai's virtual asset regulators are met. Once the license is effective, Deribit will be able to serve institutional and qualified investors, and continue to serve retail investors through its brokerage affiliate based in Panama.

Lin Chen, Deribit's Asia-Pacific business director, wrote on the X platform: "The premium of BTC's year-end delivery futures is still at 18.2%, and it was 22.6% at the end of June. The market is still extremely bullish."

Deribit's Asia-Pacific business director, Lin Chen, posted on X platform today that the largest BTC option bulk is a bull market price difference. A large account paid $3.618 million to buy 525 BTC call options with a strike price of $70,000 expiring at the end of April, while selling $90,000 call options. This means that they speculate that BTC can soar to nearly $90,000 before the end of April.

The open interest of options contracts on Deribit has reached a historical high. Among them, the open interest of Bitcoin options contracts has reached 16 billion US dollars, and the open interest of Ethereum options contracts has reached 7.6 billion US dollars, totaling 23.6 billion US dollars. The open interest of perpetual options and futures contracts worth 2.2 billion US dollars has brought the total open interest of Deribit to 25 billion US dollars.

Last Friday, the notional value of open Bitcoin options contracts on Deribit reached a historic high of $15 billion. Since late September, this number has more than doubled, surpassing the peak of $14.36 billion during the bull market in October 2021 when Bitcoin was trading above $60,000. Today, Bitcoin is trading at around $37,200.As of writing, the notional value of open Bitcoin options contracts has fallen to $13.8 billion, with open positions of over 376,000 BTC, nearly double that of October 2021 but far below the record of 433,540 BTC in March of this year. (CoinDesk)

On October 25th, the cryptocurrency options trading platform Deribit announced important adjustments to its margin model variables to address possible rapid price and volatility changes. These adjustments aim to enhance the risk management framework and provide users with greater protection buffers. The main changes include:

Deribit, a derivatives exchange, announced that it will increase margin requirements gradually by increasing the margin model variable from 45% to 60% by 5% per day, due to potential rapid price and volatility changes. The increase in margin will force traders to provide more collateral, theoretically preventing liquidity crunch. Deribit's Chief Commercial Officer, Luuk Strijers, said that the platform's reserves are secure and that Deribit has "sufficient margin for all open positions." A Deribit representative added that the company's trading activity has not reached current levels since 2021.