Digital industry welcomes government position on cryptocurrency business and the first regulated Bitcoin fund
Digital Jersey has welcomed the news that the Jersey Financial Services Commission (JFSC) has approved a new Bitcoin investment fund based in Jersey. The Global Advisors Bitcoin Investment Fund (‘GABI’) has received certification from the JFSC this week and will launch August 1st 2014. Digital Jersey is also pleased to note confirmation by the Jersey government of Jersey, as stated today, that cryptocurrency business, such as the new fund, is welcome in the island, where it falls within existing regulatory frameworks and meets Jersey’s existing high standards.
Bitcoin is the first and currently the best-known form of ‘cryptocurrency’. Cryptocurrencies are decentralised, virtual currencies, which can be ‘mined’ on the Internet or traded online. A statement was issued by Digital Jersey regarding cryptocurrencies in April, following a series of workshops with industry and government to identify and explore potential opportunities. As an outcome of this work, Digital Jersey is supporting several business initiatives looking at ways to use cryptocurrencies in the island, including retail outlets preparing to accept cryptocurrencies and a potential crypto exchange.
Paul Masterton, Chairman of Digital Jersey commented:
“Cryptocurrency is developing at the intersection of the financial and the digital worlds, with the potential to be a significant disruptive technology. Such technologies can create immense new opportunities and value – just as the Internet has. Just how ‘disruptive’ cryptocurrencies are will unfold but it is an exciting new area and we are already seeing crypto start-ups in our business incubator at the Hub, which have the potential to create growth and new jobs.
“The news of this regulated Bitcoin fund is extremely positive for Jersey, positioning the island for future opportunities and demonstrating how local businesses can combine the advantages of our well-regulated finance industry with innovative technology. While GABI is a regulated expert fund and not yet a general consumer product, the chance to engage with Bitcoin in secure environment will be of global interest.”
“Cryptocurrencies are moving at an incredibly fast pace and it is essential that government, the regulator and industry work together, and at speed, to capture the opportunities and minimise potential risk. More than ever, we must position Jersey as a progressive jurisdiction which is developing exciting new products, while keeping the interests of society at heart.’’
Category: Finance & Business