Deribit Moves 90% of Assets to Coinbase, Ends Daily Proof-of-Reserves
Crypto derivatives exchange Deribit has transferred 90% of user assets to Coinbase Custody while phasing out its public daily Merkle proof-of-reserves tool.
Crypto derivatives exchange Deribit transferred approximately 90% of its customer assets to institutional custodian Coinbase Custody. Concurrently, the platform announced the discontinuation of its daily user-verifiable Merkle tree proof-of-reserves verification system.
The exchange stated that regulatory compliance under Dubai’s Virtual Assets Regulatory Authority (VARA) and periodic third-party audit reports will replace the previous daily cryptographic checks. The transition marks a pivot toward traditional institutional custody standards.
The change has sparked discussion among transparency advocates who favor on-chain cryptographic proofs over institutional custodian assurances, though it provides Deribit with enhanced institutional regulatory standing.
Key takeaways
- Deribit moved 90% of customer funds to institutional custodian Coinbase Custody.
- The platform phased out its daily user-facing Merkle tree proof-of-reserves tool.
- Future reserve verification will rely on VARA regulatory filings and audited financial reports.