Malta is all over the news, inside and outside of the Blockchain industry for having achieving status as the first “Blockchain Island,” due to its loosening and yet clarifying of regulations related to running Blockchain companies on its shores.
What is less known is that Bermuda has been emerging as “Blockchain Island II,” if you will.
As of July 13, David Burt, who acts as the Premier and Minister of Finance of Bermuda, appeared in front of Bermuda’s equivalent of the Parliament, in an effort to introduce new and clearer regulations related to Initial Coin Offerings.
The chief thinking behind this is that once Burt has pushed through his proposed regulations, then it will be a much easier process for companies to run ICOs through Bermuda, while still adhering to legal compliance measures.
According to Cointelegraph and sources in Bermuda like the Royal Gazette, all of this would begin with each ICO team disclosing information on all parties who are involved in the ICO process.
What still is not clear is whether this includes handing over certain pieces of personal information on the ICO’s investors or not.
If the answer turns out to be yes, then concerns could easily arise related these regulations encroaching on the inherent decentralization of the Blockchain industry.
In other words, if customers are publicly identified, then some might wonder: what is the point of investing in ICOs that originate in Bermuda at all?
One of the founding principles of the Cryptocurrency world is the right to anonymity, should someone choose it, though this idea has usually been taken, of course, in connection with following existing laws.
Will Bermuda continue to protect this right?
At this point, it is most likely not as simple as a yes or no answer.
As the regulations move forward towards achieving the status of laws, what will arguably make or break Bermuda’s status as Blockchain Island II is whether or not they choose to protect the Blockchain investor, within reason.
Even so, it bodes well for the island that Burt has already reached an agreement to partner together with Binance, so that the Crypto exchange will be able to assist Bermuda in its time of transition.
With such successful Blockchain companies working together with existing governments, one can only hope that the good that will come will outweigh the possible detrimental effects of centralized control of the space.
By: BGN Editorial Staff