The Bermuda Monetary Authority has approved license for a new high-yield product.
Fremont, CA: Circle Yield, a well-regulated crypto yield and treasury solution for companies and corporate treasury leaders was launched today by Circle, a global financial technology firm. Its approach, regulated by the Bermuda Monetary Authority (BMA), builds on Bermuda's long history of leadership and reputation in the organization of institutional capital.The expansion of BMA oversight to cover the newly announced high yield offering under Circle's Class F ("Full") DABA license, issued in 2019, represents a significant expansion of Circle's offerings, as well as the forms of institutional capital formation currently allowed in Bermuda.
Circle offers a well-regulated alternative yield market for institutional investors and corporate treasurers domiciled in the United States and Switzerland. Bermuda is home to one of the world's most important and innovative risk capital markets for the insurance, reinsurance, and captive industries, with more than 100 billion dollars in risk capital regulated in Bermuda.Circle's high yield solution, which the BMA holds, offers institutional investors an early access opportunity to leverage yield-generating opportunities in a secure, sound, and compliant manner in supporting high-growth digital assets and crypto markets.
Circle Yield's early access period will be limited to companies and institutional investors based in the United States or Switzerland. The company plans to work with the BMA and the Bermuda government to ensure that responsible financial services innovation serves institutional customers from such a competitive Bermuda regulatory platform.
"Circle was the world's first fintech company to receive the BMA's Class F ("Full") DABA license and ever since we have maintained a deep commitment to Bermuda and building the future of money and payments on the Internet, with Bermuda being an important part of our global operational platform. With the launch of Circle Yield, together with our recent strategic capital raise, we look forward to building our operations in Bermuda to support substantial corporate treasury demand for crypto assets and yield, while at the same time supporting Circle's overall market expansion strategy," said Jeremy Allaire, Circle's co-founder, and CEO.
"Circle is a true pioneer in the blockchain-based economy. Their selection of Bermuda to launch the world's first regulated institutional yield product is a testament to the attractiveness of Bermuda's regulatory framework and our regulator the Bermuda Monetary Authority. It showcases how key players like Circle are leveraging Bermuda's long standing reputation as one of the world's most innovative financial services hubs to power a revolution in the Internet of value. Circle has been a key driver of this movement and we are honored that Circle calls Bermuda home and continues to invest in the island," said Bermuda's Premier, the Honorable David Burt.