If you have started researching online trading, trading bots, or automated strategies, you have probably come across the name Deriv. But what is Deriv, how does it work, and what should you understand before placing your first trade?
Deriv is an online trading provider that gives users access to different markets and contract types. Alongside traditional markets, Deriv also offers proprietary markets, including Derived Indices and its well-known Synthetic Indices.
In this guide, you will learn how Deriv works, the difference between Demo and Real accounts, what Synthetic Indices are, the risks involved, and how Orby connects to Deriv so users can run and configure strategies already available on the platform.
What is Deriv?
Deriv is a group of online trading companies with a history dating back to 1999.
Through its platforms, users can access several financial instruments and markets. Exact availability depends on the user’s country, account type, and trading platform, but may include:
- forex;
- commodities;
- cryptocurrencies;
- stock indices;
- Derived Indices;
- Synthetic Indices;
- options and other derivative products.
Deriv operates through different entities and licences across several jurisdictions. The entity responsible for a particular account can therefore vary according to the user’s country of residence and the products available in that region.
It is also important to understand that derivative products involve risk. Using a trading platform does not guarantee a profit, and trading with real money can result in losing some or all of the capital used.
How does Deriv work?
At a basic level, the journey begins by creating an account.
Users can then access a Demo environment to learn and practise with virtual funds or, when eligible and comfortable with the risks involved, use a Real account.
A simplified journey looks like this:
Create an account → choose Demo or Real → select a market → configure a trade → monitor the outcome.
However, the Deriv ecosystem provides several ways to trade. Different platforms are designed for different instruments and trading styles, and authorised third-party applications can also connect to a user’s Deriv account.
This is where Orby fits in.
Deriv Demo vs Real account: what is the difference?
One of the first things new users should understand is the difference between a Demo account and a Real account.
Demo account
A Demo account uses virtual funds.
This allows you to explore the trading environment and understand how strategies behave without putting real money at risk.
A Demo environment can be useful for:
- learning the interface;
- understanding how a strategy behaves;
- testing different configurations;
- observing both positive and negative periods;
- learning how you react to fluctuations;
- building familiarity before taking financial risk.
Demo trading should not simply be viewed as a way to calculate how much you “could have made.”
The more important goal is to understand how a strategy behaves and what risks are involved.
Real account
A Real account uses actual funds.
This means both profits and losses have real financial consequences.
Moving from Demo to Real should therefore not be based only on a few positive results.
Users should understand how the strategy works, what its parameters control, how risk management works, and only use money they can afford to lose without affecting their financial wellbeing.
For beginners, starting with Demo can provide a more responsible way to learn. This does not mean every Demo user must eventually move to Real: Demo and Real can serve different purposes depending on the user’s goals.
What markets can you trade on Deriv?
Deriv provides several categories of markets.
Depending on your platform, location, and account type, these can include forex, commodities, cryptocurrencies, stock indices, and Deriv’s proprietary markets.
One category that attracts significant interest is Derived Indices.
These are proprietary markets offered by Deriv and include several types of indices, including Synthetic Indices.
What are Deriv Synthetic Indices?
Synthetic Indices are simulated markets offered by Deriv.
Unlike traditional markets whose prices are directly influenced by companies, currencies, economic releases, or other real-world events, Synthetic Indices use systems developed by Deriv to generate market movements.
According to Deriv’s official documentation, these markets are generated using a cryptographically secure random number generator and are not directly affected by real-world news.
Another notable feature is availability.
Many Synthetic Indices can be traded 24 hours a day, 7 days a week, including weekends and public holidays.
Popular groups include:
- Volatility Indices;
- Crash/Boom Indices;
- Jump Indices;
- Step Indices.
However, this does not mean Synthetic Indices are predictable or risk-free.
Being independent from traditional market news does not remove the possibility of financial losses.
Official source: Synthetic Indices — Deriv
Is Deriv regulated?
Deriv operates through several companies within its group.
These companies hold registrations and licences in different jurisdictions. The specific entity serving a user can vary depending on location and product availability.
Before using any financial service, users should review the regulatory information and terms that apply specifically to their account.
Regulation also does not eliminate market risk. Trading can still result in losses.
Official source: Regulatory information — Deriv
How to start using Deriv
For someone new to Deriv, a simple approach can be:
1. Create your account
Complete the registration process and provide any information required by Deriv.
2. Explore Demo first
Before risking real money, use virtual funds to become familiar with how the platform works.
3. Understand the market you are using
Different markets behave differently.
Learn about the asset, contract type, and risks involved before trading.
4. Understand the strategy
Know what the strategy is designed to do, which parameters can be configured, and in which situations losses can occur.
5. Define your risk limits
Before asking how much you can make, determine how much you are prepared to lose.
That principle remains important even when trading is automated.
How does Orby work with Deriv?
Orby does not replace Deriv and does not hold the user’s funds.
Your account and funds remain with Deriv.
Orby connects to a Deriv account through an authorised connection. During this process, Orby receives authorised access rather than the user’s Deriv password.
Once connected, users can access the strategies available in Orby, choose one, and configure its parameters according to how they want to use it.
The strategies already exist inside Orby.
Users are not building a trading strategy from scratch. Instead, they select from available strategies and adjust the settings provided.
The selected strategy can then operate through the connected Deriv account in Demo or Real, depending on the available options and the user’s own decision.
If you already have an account, follow the guide on how to connect your Deriv account to Orby.
Why learn in Demo before using real money?
Even when a strategy is already available, that does not mean you already understand how it behaves.
Using Demo gives you an opportunity to observe:
- trading frequency;
- negative periods;
- fluctuations;
- how different parameters affect behaviour;
- how the strategy behaves over time.
This matters because past performance does not guarantee future results.
A strategy can experience both positive and negative periods.
Learning how it behaves before using real funds is therefore an important part of the process.
Does automation remove trading risk?
No.
Automation means a defined set of rules can be executed automatically.
It does not turn a strategy into a guaranteed source of profit.
An automated strategy can still:
- lose trades;
- experience negative periods;
- behave differently under different conditions;
- produce results that differ from previous performance.
Automation can help execute defined rules consistently, but it does not eliminate trading risk.
This is one of the most important concepts for new users to understand.
Are Deriv and Orby the same thing?
No.
Deriv is where the trading account and funds are held.
Orby is a connected platform that provides ready-made strategies users can select and configure.
A simple way to think about it is:
Deriv = account and trading environment
Orby = strategies and automation connected to your Deriv account
Orby does not replace your Deriv account.
What should you do after creating your account?
If you are new to trading, your first goal should not be finding “the strategy that makes the most money.”
Start by learning how the platform works.
Explore Demo.
Understand the settings.
Learn about the available strategies.
Understand risk management.
You will then be in a much better position to decide how you want to use Orby.
If you already have a Deriv account, the next step is to learn how to connect your Deriv account to Orby and explore the strategies available on the platform.
Frequently asked questions about Deriv
What is Deriv?
Deriv is an online trading provider offering access to multiple markets, derivative products, and proprietary markets including Synthetic Indices.
Does Deriv have a Demo account?
Yes. Demo trading allows users to practise with virtual funds without putting real money at risk during practice trades.
Can you trade on Deriv during weekends?
Certain markets, including Synthetic Indices, are available 24 hours a day, 7 days a week, including weekends.
What are Deriv Synthetic Indices?
They are proprietary simulated markets whose movements are not directly driven by real-world financial news or traditional market hours.
What is the difference between Demo and Real?
Demo trading uses virtual funds. Real trading uses actual money and therefore involves real financial losses and gains.
Does Orby hold my money?
No. Your funds remain in your Deriv account. Orby connects through user-authorised access to run the strategies available on the platform.
Do I need to build my own strategy in Orby?
No. Strategies are already available in Orby. Users select a strategy and configure its available parameters.
Learn first, trade second
Deriv, trading strategies, and automation can seem complicated when you are starting out, but you do not need to learn everything at once.
A more responsible approach is to move step by step:
understand the platform → use Demo to learn → learn the strategies → configure → observe → learn → decide what to do next.
Trading involves risk, and past results do not guarantee future performance. Never trade with borrowed money or with money you cannot afford to lose.
Next step: explore Orby and learn how the available strategies can work with your Deriv account.