1. Deribit Support
  2. Compliance
  3. Verification

UK Client Categorisation

  • Updated

To comply with regulatory requirements, we need to categorise our UK clients. Clients may fall into one of the following categories:

  • Retail Client

  • Professional Client

  • Eligible Counterparty

Individual clients may be categorised as either:

  • Retail Client (Deribit does not provide services to this category)

  • Professional Client

Corporate clients may be categorised as either:

  • Retail Client (Deribit does not provide services to this category)

  • Professional Client

  • Eligible Counterparty

Deribit does not currently offer its services to UK Retail Clients. We provide services only to UK Professional Clients and Eligible Counterparties.

Please find below the requirements for each client categorisation.

Individual Accounts

Individual clients may be categorised as either Retail Clients or Professional Clients. Currently, Deribit does not onboard UK Retail Clients. We do accept Professional Clients.

Client categorisation

Details

Professional Client

Professional Clients are not entitled to the regulatory protections and compensation rights available to Retail Clients. Individuals who wish to be treated as Professional Clients (i.e. Elective Professional Clients) must explicitly acknowledge that they understand the consequences of losing such protections and confirm their intention to be treated as Professional Clients.

We may treat an individual client as an Elective Professional Client if the client is capable of making his own investment decisions and understanding the risks involved in our products and services.

In addition, at least 2 of the following 3 criteria must be satisfied:

  1. You have carried out trades of significant size (i.e. the notional value of the contract must be at least USD 25,000) in leveraged financial instruments (e.g. options, futures and perpetuals) at an average frequency of 10 per quarter over the previous four quarters (i.e. 40 in total);

  2. The size of your financial instrument portfolio, including cash and cryptoassets, exceeds EUR 500,000;

  3. You work or have worked in the financial sector for at least one year in a professional position which requires knowledge of leveraged financial instruments.

Clients are required to provide supporting documentation to demonstrate they meet these criteria.

Corporate Accounts

Corporate clients may be categorised as either Retail Clients, Professional Clients or Eligible Counterparties. Currently, Deribit does not onboard UK Retail Clients. We do accept Professional Clients and Eligible Counterparties.

Eligible Counterparties and Professional Clients are not entitled to the regulatory protections and compensation rights available to Retail Clients. Corporate clients who wish to be treated as Professional Clients must explicitly acknowledge that they understand the consequences of losing such protections and confirm their intention to be treated as Professional Clients.

Client categorisation

Details

Eligible Counterparty

The following companies qualify as an Eligible Counterparty:

  • An investment firm (i.e. a firm authorised under MiFID to provide investment services or perform investment activities on a professional basis)

  • A credit institution

  • An insurance company

  • A collective investment scheme authorised under the UK provisions which implemented the UCITS Directive or its management company

  • A pension fund or its management company

  • Another financial institution authorised or regulated under the law of the UK

  • A national government or its corresponding office, including a public body that deals with public debt at national level

  • A central bank

  • A supranational organisation

Eligible Counterparties are required to provide supporting documentation to demonstrate their eligibility.

Per Se Professional Client — Authorised or Regulated Entities

The following companies that are required to be authorised or regulated to operate in the financial markets qualify as a Per Se Professional Client:

  • A collective investment scheme or the management company of such a scheme

  • A commodity or commodity derivatives dealer

  • A local

  • Any other authorised or regulated financial institution

  • Any other institutional investor

Currently, Deribit does not accept regional governments, including public bodies that manage public debt at the regional level.

Per Se Professional Clients are required to provide supporting documentation to demonstrate their eligibility.

Per Se Professional Client — Large Undertakings

Companies that meet at least two of the following three size requirements may be categorised as Per Se Professional Clients:

  1. Balance sheet total of EUR 20,000,000

  2. Net turnover of EUR 40,000,000

  3. Own funds of EUR 2,000,000

Large Undertakings must provide financial statements to demonstrate that the company satisfies at least two of these three requirements to qualify as a Per Se Professional Client.

Professional Client

Professional Clients are not entitled to the regulatory protections and compensation rights available to Retail Clients. Companies who wish to be treated as Professional Clients (i.e. Elective Professional Clients) must explicitly acknowledge that they understand the consequences of losing such protections and confirm their intention to be treated as Professional Clients.

We may treat a corporate client as an Elective Professional Client if the client is capable of making their own investment decisions and understanding the risks involved in our products and services.

In addition, at least 2 of the following 3 criteria must be satisfied:

  1. The company has carried out trades of significant size (i.e. the notional value of the contract must be at least USD 25,000) in leveraged financial instruments (e.g. options, futures and perpetuals) at an average frequency of 10 per quarter over the previous four quarters (i.e. 40 in total);

  2. The size of the company's financial instrument portfolio, including cash and cryptoassets, exceeds EUR 500,000;

  3. The person authorised to carry out transactions on behalf of the company works or has worked in the financial sector for at least one year in a professional position which requires knowledge of leveraged financial instruments.

Clients are required to provide supporting documentation to demonstrate they meet these criteria.

Retail Client

A Retail Client is an individual or legal entity that is not a Professional Client or an Eligible Counterparty.