The dramatic collapse of the FTX cryptocurrency exchange last November does not deter Bermuda from welcoming cryptocurrency companies. according to the head of government of the British island territory during an interview with Bloomberg News.
“The future of finance is digital,” said Prime Minister and Finance Minister Edward David Burt, who believes that considerable benefits can still be reaped from digital assets and blockchain technology.
Bermuda is a self-governing territory with a parliamentary government and was one of the first places to implement a regulatory framework for digital assets. The territory is just 915 miles from the Bahamas, where FTX once operated, now bankrupt.
Burt reportedly faced intense political pressure prior to the FTX failure, as the exchange chose the Bahamas over Bermuda for its headquarters. According to him, the latest events in the crypto industry had a minimal impact on the territory thanks to its regulations. “I think that approach has been vindicated,” Burt said, adding that the regulations in Bermuda are clear and won’t change for any company.
Today, GBBC had the pleasure of hosting @BermudaPremier in Washington, DC as he shared how government, the private sector, and regulators are working together to create clear and smart regulation around #chain of blocks & #digital resources pic.twitter.com/ABYEUMrRaJ
— Global Blockchain Business Council (GBBC) (@GBBCouncil) March 31, 2023
According to Bloomberg, Burt met with US lawmakers and government officials this week in Washington, DC to discuss common standards for digital assets, along with issues related to their finance and insurance sectors. He believes that regulators around the world “must work together” to bring clarity to emerging technologies.
Since 2022, the Bermuda government has pushed forward with its ambitious plans to become a cryptocurrency hub. The island, known for its natural beauty and attractive tax policies, has been actively expanding its crypto sector since 2017, Cointelegraph reported. According to Burt, 17 licensed crypto businesses currently operate in Bermuda.
Among the latest crypto developments in the territory, Jewel Bank launched Bermuda’s first stablecoin powered by the Polygon blockchain in December, focusing on enabling real-time settlements using a stablecoin with a one-to-one peg to the US dollar.
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