Bermuda to create new class of banks to encourage Blockchain companies

As reported on July 2^nd by Finextra, the Government of Bermuda has announced plans to amend the Banking Act in an aim to establish a new class of bank to render services to local fintech and Blockchain organizations.

Updating the Banking Act comes as a result of consultations with local banks, who have been unwilling to provide banking services to the new type of companies on the island, citing regulatory issues and potential risks.

Upon introducing the bill in Parliament, Bermudian Premier and Minister of Finance David Burt said that the banks’ stance "cannot be allowed to frustrate the delivery on our promise of economic growth and success for Bermudians."