The Government of Bermuda has announced a strategic partnership with Coinbase & Circle to develop what it describes as a “fully onchain” national economy, positioning digital assets as core financial infrastructure across government, businesses, & consumers. The initiative was announced on January 19 during the World Economic Forum annual meeting in Davos, Switzerland.

Under the partnership, Coinbase & Circle will provide blockchain-based payments infrastructure, enterprise tools, & technical support to Bermuda’s public sector, local banks, insurers, small & medium-sized enterprises, & residents.

• Stablecoins at the Center of Public Finance Experiments
• Building on Early Digital Asset Regulation
• Education, Tokenization & Nationwide Onboarding
• Looking Ahead to 2026

Stablecoins at the Center of Public Finance Experiments

A central pillar of the initiative is the expanded use of stablecoins, particularly USDC, for everyday transactions. The government plans to pilot stablecoin-based payments across select government agencies, while encouraging local merchants to adopt USDC for fast, low-cost, dollar-denominated payments.

According to the announcement, several Bermudian businesses are already accepting stablecoins, citing lower transaction fees & faster settlement compared to traditional payment rails. For small island economies like Bermuda, legacy financial infrastructure often comes with higher costs, restricted access to payment processors, & dependency on offshore banking channels.

“This initiative is about creating opportunity, lowering costs, & ensuring Bermudians benefit from the future of finance,” Premier E. David Burt said in a statement.

Building on Early Digital Asset Regulation

The new effort builds on Bermuda’s early move into digital asset regulation. In 2018, the country enacted the Digital Asset Business Act, one of the world’s first comprehensive legal frameworks governing digital assets.

Both Coinbase & Circle were among the earliest global firms licensed under the regime, with Coinbase currently operating a derivatives platform from Bermuda for non-U.S. markets. Momentum accelerated in 2025 at the Bermuda Digital Finance Forum, where the government, Coinbase, & Circle conducted an onchain stablecoin airdrop, distributing digital dollars to attendees for use with newly onboarded local merchants.

Since then, additional businesses & financial institutions have expanded their use of stablecoins & tokenized finance tools.