14 leading crypto firms licensed by the Bermuda Monetary Authority (BMA) have created the first-of-its-kind industry association called NEXT.
NEXT will be an autonomous industry advocacy group for Bermuda-based digital asset companies licensed by the Bermuda Monetary Authority providing a collective voice and opportunities for collaboration within Bermuda and globally.
The association will support initiatives to enhance Bermuda’s sustainable digital asset ecosystem and to promote Bermuda as an innovative and accessible jurisdiction with institutional grade legislation.
It will support a differentiated ecosystem of digitally native companies – banks, exchanges, custodians, investment managers, fund services companies, insurers & insurtech players, and innovative financial services providers.
Industry Heavyweights Joins NEXT
NEXT founding members include Apex Group, Bittrex Global, Blockfi, Blockchain Triangle, Blockwrk, Circle, CrossTower, Ensuro Re, Jewel Bank, NAYMS, Relm Insurance, Stablehouse, XBTO and 24 Exchange.
NEXT Co-Founder committee also includes Tim Reed, Chief Marketing Partner at Your Partners, a Bermuda-based Fintech Advisory company and Denis Pitcher, Chief FinTech Advisor to the Premier of Bermuda.
NEXT’s core priorities
- Industry advocacy: act as a collective voice for Bermuda’s digital asset industry to the BMA, the Bermuda government, and Bermudian residents
- Ecosystem growth and stability: build international relationships to help network Bermuda companies into global conversations and opportunities
- Reputation building: proactively market Bermuda as an innovative and accessible ecosystem to decision makers and influencers in major markets
- Talent development: provide opportunities and grow the Bermuda talent pool, while helping to attract the world’s best resources
“The formation of Bermuda’s first trade association for licensed digital asset businesses is a significant milestone in the development of Bermuda’s fintech industry,” said Premier Burt. “It supports Bermuda’s proven recipe for success of ensuring close collaboration between the industry, regulator and legislators to allow Bermuda to adapt quickly to and stay ahead of the needs of the industry.”
“The companies who have chosen to get licensed in Bermuda are attracted by the enhanced credibility of being regulated by the BMA,” said Stafford Lowe, Co-Founder of NEXT. “As they develop new products and grow their global businesses, they require a proven jurisdiction that their clients and counterparties can trust.”
Digital asset fintech companies have been flocking to Bermuda to take advantage of the regulatory framework known technically as DABA (Digital Asset Business Act 2018). DABA builds on Bermuda’s decades-long reputation as a progressive, yet reputable legislation that gave birth to the reinsurance market 50 years ago.
David Hart, CEO of the Bermuda Business Development Agency (BDA) said:
“NEXT is a welcome addition to the pantheon of industry associations who have helped grow and shape Bermuda’s financial services landscape. As digital asset businesses begin to converge with mainstream financial markets, we look forward to seeing Bermuda’s burgeoning tech sector grow from strength to strength. The BDA looks forward to supporting the ongoing evolution of financial services – there isn’t any place better for this evolution to occur than Bermuda.”
“We are excited by the diverse ecosystem forming in Bermuda,” says John Narraway, Co-Founder of NEXT. “NEXT members span exchanges, custodians, digital asset managers, digital fund services companies, insurtechs, financial product innovators and even a licensed digital asset bank. With the ongoing ‘flight to quality’, Bermuda has clearly become the premier domicile for the wide spectrum of innovative companies building the future of finance and insurance.”
Bermuda positions itself to become a crypto hub
Bermuda positions itself to become a crypto hub. NEXT’s mission is to support initiatives to enhance Bermuda’s sustainable digital asset ecosystem and to promote Bermuda as an innovative and accessible jurisdiction with institutional grade legislation.
Despite the current market downturn, Bermuda’s government is going forward with its lofty goal of becoming a crypto hub. The recent Terra accident in May had little impact on Bermuda’s government.
The Bermuda Monetary Authority (BMA) has awarded 14 crypto companies licences to operate on its territory. According to Crag Swan, the BMA’s chief executive, four of these licences were issued this year.
The BMA list includes cryptocurrency exchange Bittrex Global, multi-asset-class trading firm 24 Exchange, USD coin (USDC) issuers Circle Internet Financial Ltd., and crypto interest account providers BlockFi, who received their licence in January of this year.