Bermuda Officials Present Strict Regulatory Laws on ICOs to Combat Industry Ambiguity
According to the Royal Gazette, David Burt, Bermuda Finance Minister, issued new ICO regulations on the 13th of July. The regulations outline the minimum information necessary for initial coin offerings in addition to describing the necessary measures companies are expected to comply with when hosting an ICO.
When meeting with officials from Parliament, Burt discussed regulations that require ICO issuers stationed in Bermuda to submit detailed reports regarding all individuals linked to the project. Companies are also required to submit a project review highlighting key features including key targets, services offered, target revenue, financing structure, in addition to more technical features in line with the specific software and associated blockchain details.
He also noted that several new bills will be issued within the upcoming months expanding current laws deterring fraudulent activities such as laundering and terrorist funded activities. Burt explained that Bermuda has achieved a legal standard that challenges existing ambiguity within the blockchain and cryptos environment.
When responding to an undeniable growing demand, the Minister expressed goals for government policies to define a framework from which DLT firms must comply, as seen by Bermuda's Asset Business Act passed this year. These detailed regulations aim to create clear boundaries for cryptocurrency based companies in order to help protect individual rights and those of their current and potential clientele.
An announcement was issued this month regarding plans to issue amendments the existing Banking Act in order to define this factset of banking and offer services to blockchain organisations in the nation. Since traditional financial entities in the country refused service to both Fintech and blockchain businesses, officials aimed to legally classify and structure their position within the greater financial industry.
As of April 2018, Burt officiated a MOU with Binance, an internationally popular crypto exchange and largest among its peers. The aim was to design a means to fund educational courses relating to the cryptos industry. Burt declared that this international compliance base aims to open up approximately forty new jobs, with up to thirty being offered to Bermudians.