The Bermuda Monetary Authority (BMA) has granted a Digital Asset Business License to DerivaDEX, marking the first time a DAO-governed decentralized derivatives exchange has received formal regulatory approval. The milestone establishes a global precedent for non-custodial trading infrastructure, opening the door for banks, hedge funds, and asset managers to access crypto derivatives within a recognized legal framework.

"The future of digital finance depends on establishing a strong foundation of compliance, regulation and customer protections in decentralized markets" said the Honourable E. David Burt, JP, MP, Premier of Bermuda. "Bermuda is committed to supporting decentralized financial institutions that share these same principles. DerivaDEX's license demonstrates this support and also showcases our regulator, The Bermuda Monetary Authority's sophistication in digital assets and ability to regulate innovative financial products."

DerivaDEX was founded by veterans from leading trading and technology platforms, including DRW and Consensys, and is backed by investors such as Polychain Capital, Dragonfly Capital Partners, Electric Capital, and CMS Holdings. The founding team's institutional and regulatory experience shaped the platform's design, which combines high-speed trading performance with a fully transparent governance structure.

In the wake of high-profile exchange failures that underscored the risks of centralized custody, DerivaDEX represents a new generation of regulated, non-custodial trading designed to eliminate single-entity control and improve market transparency and integrity. The platform ensures users maintain full custody of assets while meeting regulatory obligations under BMA oversight, bridging the gap between traditional market structure and decentralized finance.