The Government of Bermuda is planning to undertake measures to foster blockchain and fintech ecosystem in the country.

The government is increasingly making efforts to position the country as a regulated hub for blockchain business and digital assets. On these lines, it recently passed an ICO Bill and Digital Asset Business Act.

In a bid to accommodate the growing tech sector, Premier and Minister of Finance Edward David Burt recently announced plans to make amendments to the Banks and Deposits Companies Act 1999, Cryptovest reported. The proposed amendment has been drafted in consultation with the banking sector.

If approved, it will create a new class of bank called Restricted Banks. The revision lists the various types of business undertakings this new class can serve. It also includes a provision that will allow future amends after consultations with the Bermuda Monetary Authority (BMA).

“To ensure that the Government is able to effectively execute on its FinTech initiatives, as well as encourage responsible FinTech innovation that provides fair access to financial services and fair treatment of consumers, the Banks and Deposit Companies Act 1999 will be amended to allow for a new class of bank that will provide banking services to Bermuda based FinTech companies,” Burt said.