Jersey Virtual Currency Regime Targets Fintech
by Jason Gorringe, Lowtax.net, London
28 September, 2016
Jersey has introduced a new regulatory regime for virtual currencies.
The new regime, which came into effect on September 26, 2016, is intended to give the island more control over the way individuals and businesses exchange virtual and physical currencies, mitigating the potential risk of financial crimes such as money laundering and terrorist financing.
The new regime is also intended to create a business environment that is attractive to fintech start-up businesses looking to establish themselves on the island.
The regulation was developed in collaboration with industry and government bodies including the island's digital sector advocate, Digital Jersey, the island's financial services regulator, the Jersey Financial Services Commission and Jersey Finance, the island's financial services marketing and promotion agency.
Tony Moretta of Digital Jersey commented: "As we continue to make steps towards realizing Jersey's fintech potential, it's essential for us to introduce the right regulatory regime to encourage confidence in our jurisdiction. The introduction of this regulation proves that our strengths lie not only in our excellent financial services, but also our digital sector and government. This vital relationship is why we are able to ensure we are ahead of the curve when it comes to forward-thinking regulation for fintech businesses. I hope that our robust framework will encourage more digital start-ups to consider Jersey in the future."
Assistant Chief Minister, Philip Ozouf, commented: "I am delighted that we are now at the stage of implementing this policy and by doing so we are putting Jersey on the map as one of the first jurisdictions to establish a progressive regulatory regime for virtual currency. We have worked hard with industry and the regulator to create the right environment for Jersey businesses to thrive in the virtual currency space. I look forward to seeing these opportunities being developed and to Jersey expanding its reputation for high standards of regulation into a new area of expertise."
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