1. Introduction
One of the drivers of its success is the trust of the users of the Platform (“Clients”). Abiding by all applicable laws and regulations while preventing and managing any potential conflicts of interest, are of utmost importance to Deribit.
Offering or receiving a Gift (in any form) may under certain circumstances constitute a crime under UAE law and may cause Deribit to breach its regulatory requirements. Receiving a gift may also give rise to a conflict of interest where an employee or representative of Deribit receives a gift or form of entertainment that constitutes an inappropriate incentive for an employee or representative of the firm to act in a certain way. Deribit does not permit the offering or acceptance of Gifts or entertainment by an Employee unless it is reasonable, appropriate and for a legitimate purpose. In order to mitigate this risk, Deribit has developed specific rules with regard to the receipt of gifts, entertainment as well as travel arrangements paid for by third parties.
2. Purpose
The purpose of this Anti Bribery and Corruption (“Policy”) is to ensure that any offer or receipt of a gift by Deribit does not breach its legal and regulatory requirements, or adversely affects the interests of its Clients and to set the standards in respect of Anti Bribery and Corruption.
This policy outlines specific rules for employees with regard to the receipt and provision of Gifts which include all forms of monetary value such as entertainment as well as travel arrangements. Furthermore, it requires the implementation of a “Register of gifts & entertainment”.
Any conflict of interest which may result from Deribit giving or accepting a Gift would be dealt with in accordance with Deribit’s Conflicts of Interest Policy.
3. Scope
This Policy applies to all employees and to all services and business activities that are provided and performed by Deribit as well as the Deribit Board of Directors and all members of Deribit’s management.
The Executive Committee shall have overall responsibility for ensuring this Policy is up-to-date and fit-for-purpose. The Compliance Officer shall have the primary responsibility for implementing this Policy on a day-to-day basis.
4. Definitions
Client:
Natural or legal person who has been admitted to trade cryptocurrency derivatives on the Deribit Platform (according to the rules of the Deribit Rulebook);
Compliance Officer:
the Deribit Employee appointed as such by the Executive Committee of Deribit.
Employee:
Natural person who is employed by or is otherwise in a relationship of authority or command with Deribit, regardless of duration or nature, including members of the Executive Committee.
Entertainment:
The Gift which consists in procuring entertainment, travel, invitation to events such as conferences or sporting events, or any kind of hospitality, or any similar arrangements.
Executive Committee:
The group of senior managers who oversee and control Deribit and affiliated companies.
Gift:
Any grant of monetary or non-monetary value which is beneficial to its recipient.
5.General principles
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Receipt of reasonable Gifts is in principle allowed (if in line with market practice).
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Entertainment and conferences when paid by third parties will be approved on a case-by-case basis.
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Employees are not allowed to solicit Gifts or Entertainment.
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The receipt or provision of cash or cash convertible Gifts is never permitted.
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Deribit has a zero-tolerance approach towards bribery and corruption (as these are provided for under the relevant applicable laws and regulations) and business counterparties shall be notified of this zero-tolerance policy at the outset of the business relationship.
6. Procedure
6.1 Receipt of Bribes, Gifts, Entertainment and conferences and travel arrangements
6.1.1 Legal Background - Overview
It is prohibited for Deribit, members of the Board and any employee of Deribit to:
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Give, promise to give, or offer, a payment, Gift or Entertainment to a third party or otherwise engage in or permit a bribery offence to occur, with the expectation or hope that an advantage in business will be received or to reward a business advantage already given;
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Give, promise to give, or offer, a payment, Gift or hospitality to a third party to facilitate or expedite a routine procedure;
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Accept a payment, Gift or hospitality from a third party if it knows or suspects that such payment, Gift or hospitality is offered or provided with an expectation that a business advantage will be provided by Deribit in return.
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Threaten or retaliate against another member of the Board or an employee who has refused to commit a bribery offence or who has raised concerns of such an offence; and
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Engage in any activity that may constitute a criminal act of bribery or corruption under the relevant applicable laws or that may lead to a breach of the anti-bribery and corruption rules in the VARA Rulebook.
It is prohibited for Deribit, or any members of the Board, Employees, consultants, contractors, group companies, agents, business partners, contractors or suppliers to make any payment (or promise to make any payment) to a third-party where there is any reason to believe that all or any part of such payment will go towards a bribe or facilitate any corruption. Acting as an intermediary for such payments is also a crime under UAE law, and therefore, references in this Policy to the receipt or the giving of a Gift or Entertainment also includes acting as an intermediary on such occasions.
6.1.2 Receipt of Gifts
The occasional receipt of business Gifts of a nominal value of up to USD 400 is deemed to be acceptable without the need for approval;
The occasional receipt of Gifts with a nominal value of over USD 400:
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may only be accepted after approval from the responsible line manager, or, in case of the receipt of a Gift by a line manager, after approval from the CEO; and
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must be reported by email to Compliance (compliance@deribit.com), who will register it in the ‘Register of gifts & entertainment’.
6.1.3 Entertainment and conferences
Invitations to sporting or artistic events (when paid for by third parties) must be approved by the responsible line manager, or, in case of receipt by a line manager, after approval from the CEO;
Approved invitations must be reported to Compliance via (compliance@deribit.com), who will register it in the ‘Register of Gifts & Entertainment.
6.1.4 Travel arrangements
Travel arrangements paid for by third parties must be approved by the responsible line manager, or, in case of receipt by a line manager, after approval from the CEO;
Approved travel arrangements must be reported to Compliance via (compliance@deribit.com), who will register it in the ‘Register of gifts & entertainment.
6.2 Provision of Bribes, Gifts, Entertainment and conferences, and travel arrangements
6.2.1 Provision of Gifts, Entertainment and travel arrangements to third parties:
The provision of Gifts or Entertainment to a third party should be approved by a line manager, or, if the amount is substantial or may create the impression of an undue payment, after approval from the CEO;
When considering to approve Gifts or Entertainment, the line manager or the CEO (as the case may be) will ensure that such Gift or Entertainment is appropriate and justifiable in light of Deribit’s legitimate business interests; and
Approved Gifts to third parties must be reported to Compliance via (compliance@deribit.com), who will register these in the ‘Register of gifts & entertainment;
6.2.2 Provision of Gifts, Entertainment and travel arrangements to government, semi-government or government-owned entities
Gifts to governments (including government representatives and government bodies and authorities), (semi-)governmental organisations (such as regulators), or government-owned companies or businesses (wholly or partially), are not allowed as they could be interpreted as (an attempt of) bribery.
7. Register of gifts & entertainment
Compliance will keep a Register of gifts & entertainment. In this register, Compliance will document both the receipt and provision of all Gifts, all forms of Entertainment and travel arrangements with a nominal value of over USD 400.
8. Training
The Compliance Officer shall be responsible for running regular training in respect of this Policy for all Employees, including for the Deribit Board and any new joiners within a reasonable time of their joining and as part of the induction programme.
The Compliance Officer will ensure that the training is provided on a regular basis and at least once every year to all employees and the board.
9. Record keeping
Compliance shall keep records for a period of 8 years of:
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All approved gifts, all forms of entertainment and travel arrangements with a nominal value of over USD 400;
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Register of gifts & entertainment.
10. Monitoring and reporting
The Compliance Officer will monitor the acceptance and provision of Gifts and Entertainment. The details and frequency of the monitoring and reporting will be described in detail in the Compliance Monitoring Programme.
The result of these monitoring activities will be reported to the Executive Committee on a monthly basis. Any deficiencies in this Policy, as raised to the Executive Committee, will be remediated promptly.
11. Investigations
All employees and any member of the Deribit board must promptly report any suspicion of bribery or corruption or breaches of this Policy to the Compliance Officer either in person, by telephone on +97142641324 or by email at compliance@deribit.com.
Upon receipt of an Employee report, the Compliance Officer must carry out an investigation and ensure that:
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An investigation file is opened, or in the case of an oral report, a written summary is prepared;
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An independent third party is appointed to carry out an investigation into the suspected breach and prepare a written report;
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The Compliance Officer shall inform the Board of the existence of the investigation;
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The identity of the individual subject to the investigation shall be treated with discretion in accordance with applicable UAE laws and regulations;
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Upon receipt of the final written report, the Compliance Officer shall inform the board of the outcome;
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If the written report finds that offences of bribery or corruption have occurred, the Compliance Officer must immediately take all necessary remedial action and the independent third party must document the remedial action taken including immediately making a report to VARA and to the competent UAE authorities, as required under applicable laws and regulations;
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The written report shall be retained for a period of 8 years from the date of completion of the remedial action and be made available to the VARA upon request;
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Severe disciplinary action shall be taken in respect of individuals that have been found to have committed bribery or corruption or a breach of this Policy, including but not limited to immediate dismissal without notice.