There are many hedge funds registered in the Cayman Islands. Large companies are in Delaware. Sites offering online poker often have a residence permit in Malta or Gibraltar.
The problems of legislation
Cryptocurrency boom has rised the question: where will the companies offering decentralized money go? After all, in many countries, the law is not friendly towards cryptanalysts.
At the same time, in small countries and territories have adopted laws aimed at creating a favorable climate for cryptocurrency companies.
Among the pioneers:
The Prime Minister of Bermuda said in May at the cryptocurrency conference in new York:
"Our area of 53.2 km2 and a population is 65 000, but we have a developed economy. We want to position Bermuda as an incubator for industry"
The opposition of major countries
Governments of major countries do not trust decentralized currency. Where their "Junior" colleagues have considered the opportunities for economic growth and investments, large countries see only a threat to their financial systems. Laws restricting the activities of cryptocurrency companies has recently been adopted in the United States, China and Japan.
Is the future for Bermuda?
This policy allows Bermuda to remain a leading player in the emerging cryptocurrency market. For example, Will McDonagh, the founder of the iCash, decided to make the Islands home for his company.
Binance, the largest cryptocurrency market, was forced to look for a new address, once in Japan it was closed for activities without a license. The market moved to Malta in March of 2018 . Joseph Muscat, the country's Prime Minister, congratulated his leaders on his official Twitter. After that the politician announced the commitment of Malta to become a pioneer in the regulation of the blockchain-business.
Just a month Bermuda made a retaliatory move. Changpeng Zhao, head of the Binance, has announced the investment of $ 15 millionat the official ceremony with participation of Prime Minister David Burt.
The race started
Not only Gibraltar, Malta and Liechtenstein are looking to the future. Over the past year, laws aimed at creating a favorable climate for cryptocurrency companies, were accepted in the following countries:
- USA (Wyoming and Delaware);
- Switzerland (Canton of Zug).
The future will show whether the competitors will be able to overtake Bermuda in the competition for cryptocurrency investments.