Bermuda’s Onchain Ambition: Pioneering Progress or Risky Overhaul?

Bermuda is pursuing a bold plan to migrate its entire economy onchain, an initiative aimed at streamlining settlements and democratizing wealth creation through fractional ownership. While the country faces skepticism over technical readiness and social acceptance, advocates argue that onchain models allow individuals to become capital allocators rather than just earners.

Although hailed as a pioneering example of digital regulation, the initiative has drawn skepticism. Concerns range from grassroots distrust among locals to systemic doubts from financial analysts, with many questioning whether Bermuda is prepared for the technical and social overhaul required.

A central debate is whether an onchain economy can meaningfully address the wealth gap—something traditional fintech apps have seemingly failed to do. Experts argue that fintech has digitized old banking structures without dismantling gatekeepers, leaving users as customers subject to intermediaries, restrictions and fees. Lux Thiagarajah, Chief Commercial Officer (CMO) at Openpayd, contends that onchain models shift the focus from payments to ownership:

“With on-chain, assets live on public rails and anyone can directly hold rights, yield-bearing assets, and tokens. Wealth grows from ownership, not cheaper payments. Fractional ownership lowers barriers, enabling more people to become capital allocators rather than just earners.”

By reducing investment thresholds and removing banking intermediaries, individuals can begin building wealth regardless of location or ticket size.

Onchain infrastructure also replaces opaque, centralized power with transparent and auditable code. Experts note that decentralization curtails monopolistic value extraction and prevents local opportunities from being siloed. Workers paid in liquid, yield-bearing tokens can directly share in the upside of the projects they build, creating a stakeholder economy that goes beyond “faster payments” or slicker interfaces.

Still, inclusivity requires permissionless protocols, which may clash with institutional demands for compliance. Ivo Grigorov, CEO of Real Finance, argues that neutrality at the base layer is essential:

Compliance should live at the asset and application layer. Institutions don’t need control over the chain itself, but over issuance, access, and risk. When embedded properly, permissionless infrastructure and institutional requirements can coexist.

“When capital markets are inaccessible, people are excluded from compounding entirely. On-chain fractional ownership enables global participation in productive assets, even where traditional systems fail.”

Finally, balancing transparency with corporate privacy remains critical. Grigorov emphasizes that public ledgers can verify settlement, ownership, and integrity without exposing sensitive information. Selective disclosure, encryption, and role-based access allow institutions to maintain confidentiality while benefiting from public verification.

“The future is verifiable without being exposed.”