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Pro-Tether Trump nominee Howard Lutnick to divest Deribit trading broker

Author: Content Editor
Deribit, Europe's largest crypto options exchange, is facing scrutiny over its financial dealings and relationships with prime brokers. The exchange, which has received preliminary acquisition interest from entities like Kraken, has hired Financial Technology Partners LLC to assess bids. Researchers have discovered a complex network of entities profiting from Deribit customers, raising doubts about the reported valuation of $4-5 billion. Deribit facilitates a significant volume of options trading and attracts prime brokers and quantitative trading firms to its platform. One notable broker is BGC Group, led by the pro-Tether and pro-Trump Howard Lutnick, who may face US government ethics rules violation if he continues to serve as CEO while also in the Trump administration. Deribit operates in tax-friendly jurisdictions like Dubai and Panama and holds assets with various custodians. While the exchange has not experienced major hacks, there have been security incidents in the past, although Deribit has promptly compensated affected customers.

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