CryptoSlate
Deribit, the crypto derivatives venue acquired by Coinbase in August 2025, will pull its public Proof of Reserves page on Sept. 1, ending a daily Merkle-tree check customers have used for years to verify balance inclusion against aggregate liabilities. The exchange says roughly 90% of client assets have already migrated into Coinbase custody arrangements, and the page removal is part of a wallet infrastructure overhaul tied to that integration.
Why it matters
The current page lets every client pull a unique proof identifier, locate hashed entries representing their balances, and compare the total against Deribit's published wallet holdings. It is a narrower view than Deribit's full custody footprint, since assets held with third-party custodians (Copper ClearLoop is named as an example) were already excluded from the snapshot. The notice does not clarify whether Coinbase-held assets were inside or outside that exclusion. Disclosures identify Coinbase at the brand level but do not name the specific Coinbase legal entity holding migrated assets.
Four years after FTX, a daily public solvency check is the rare piece of crypto exchange transparency that retail users can run themselves without an auditor. Replacing it with on-request financial statements and regulator-only filings trades daily public verifiability for periodic institutional due diligence.
Market impact
Regulator-required controls stay in place. Dubai's VARA mandates 100% reserves held one-to-one in the same asset, daily reconciliation, third-party reserve audits at least every six months, an annual financial-statement audit, monthly wallet-address submissions and quarterly compliance statements. Deribit's notice refers to both annual and twice-yearly PoR audits, and VARA's register lists Deribit FZE as an active exchange and broker-dealer VASP. A separate VARA service-provider list names Coinbase for custody and self-custody technology without specifying the entity.
The short-term read is optics, not solvency: a major derivatives venue dropping its only public, customer-facing solvency tool just as most client assets sit with a custodian whose legal entity is unnamed in the disclosure.
Frequently asked questions
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Is Deribit going insolvent after removing its proof-of-reserves page?
No. Deribit's notice frames the removal as part of a wallet infrastructure overhaul during its Coinbase integration. The exchange points to regulator-required audits and reconciliation under Dubai's VARA as the continuing controls.
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What does Deribit's current proof-of-reserves page actually let users check?
The page publishes a daily Merkle-tree snapshot. Each client uses a unique proof identifier to find hashed entries representing their balances, and anyone can sum the file's liabilities and compare the total with Deribit's published wallet holdings.
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Why does the 90% asset migration to Coinbase matter for transparency?
The existing page already excluded assets held with third-party custodians like Copper ClearLoop because they sit outside Deribit's direct control. The notice does not say whether Coinbase-held assets were inside or outside that exclusion, and disclosures name Coinbase at the brand level without identifying the…
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What VARA rules still apply to Deribit's reserves after Sept. 1?
VARA requires covered Dubai VASPs to hold reserves equal to 100% of client liabilities in the same asset, reconcile daily, obtain an independent third-party reserve audit at least every six months, submit an annual financial-statement audit, file wallet addresses monthly, and submit quarterly compliance statements.
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Will Deribit replace the public proof-of-reserves page with anything?
Deribit has not committed to a replacement public dashboard or continued client-level Merkle verification. It says clients and counterparties may request audited financial statements and other due-diligence material, a less frequent and less directly verifiable form of evidence.
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