On Monday, Coinbase (COIN) announced a new partnership with Circle (CRLC), the issuer of the USDC stablecoin, to create what they claim to be “the world’s first fully on-chain national economy” in Bermuda.
Coinbase, Circle To Build New Digital Asset InfrastructureBermuda’s Premier, E. David Burt, commented on the initiative, stating, “This initiative is about creating opportunity, lowering costs, and ensuring Bermudians benefit from the future of finance.”
Bermuda’s Crypto LandscapeThe country’s regulatory framework currently supports a diverse range of regulated digital asset activities. The Bermuda Monetary Authority (BMA) is responsible for licensing crypto exchanges, yield-bearing stablecoin structures, and decentralized finance protocols under a cohesive supervisory regime.
Bermuda’s focus on digital finance has generated significant business interest. Notably, in late 2024, the BMA issued the world’s first license to a decentralized derivatives exchange governed by a Decentralized Autonomous Organization (DAO).
Furthermore, Bermuda has attracted utility-driven firms like Haycen, which utilizes specialized stablecoins to offer faster trade financing, effectively bridging gaps often encountered by conventional banks.
He emphasized the importance of policymakers balancing caution with humility, allowing room for innovation while maintaining a robust regulatory environment in this still-evolving sector.
Featured image from DALL-E, chart from TradingView.com
