Crypto Companies Turn To Bermuda
The United States (USA) has launched strict inspections and investigations on crypto companies. Recently, reviews for crypto companies have reached the top level. Crypto companies then moved towards friendlier destinations like Bermuda.
Bermuda has been cited as the new favorite destination as crypto companies move away from their tight scrutiny in the United States to grow their businesses and test new products more easily, and move to less-regulated places.
Bermuda, an autonomous region, was one of the first addresses to establish a regulatory framework for digital assets. As sanctions against crypto companies increase in countries like the US, places like Bermuda are starting to become more attractive to businesses.
Boggiano says companies can travel to Bermuda to test their products and collect data they can bring back to US regulators when they’re ready.
David Hart, CEO of Bermuda Business Development Agency, used the following statements in his assessment:
“If you’re thinking of the US, it’s a slower process to get over. We think the support of the Bermuda Money Authority (BMA) and broader government leadership is more attractive to companies.”
The BMA has a sandbox program. This program allows businesses to work with regulators to try out new technologies and business models in a controlled environment for a period of time. The company starts with a test license. If the idea is successful, it can switch to a full license.
It was noted that there are a total of 14 companies currently in this program in Bermuda, including 4 with test licenses.