The Channel Islands Securities Exchange has announced that it has listed its first regulated bitcoin fund listing, the Jersey’s Global Advisors Investment Fund plc.
As the largest of the Channel Islands located between England and France, Jersey, a U.K. dependency, now has the opportunity to push the island’s FinTech sector forward.
According to Daniel Masters, principal of Global Advisors, the time was ‘right’ for the listing, which is helped by the fact that the digital currency Bitcoin now has a market cap of just under $13 billion, as reported by cryptocurrency market, Coin Market Cap.
Global Advisors are also reported to manage two Bitcoin exchange traded certificates, COINXBT and COINXBE, both of which are listed on the NasdaqOMX in Stockholm.
The Isle of Man, also a U.K. dependency in the Irish Sea, which is also part of the Channel Islands, has also been gaining media attention.
Known as the ‘Bitcoin Island’, local bitcoin exchange CoinCorner has been sponsoring motorcycle race rider the ‘Flying Kiwi’ Bruce Anstey for the past two years during the Isle of Man TT.
Keen to support a local race and to help boost bitcoin adoption on the island and elsewhere with help from a popular televised sport, the Isle of Man’s TT is the perfect fit.
Bitcoin has become quite established as the currency of choice on the Isle of Man. Now that Jersey is also turning its attention toward the currency may suggest its commitment to further push the island to become a global digital currency leader.
Now that Jersey has established its first regulated bitcoin fund listing, regulation processes will need to be undertaken.
In 2015, the European Union’s Court of Justice ruled that for tax purposes, bitcoin would be treated as a currency rather than a commodity. Subsequently, this approach was followed by the U.K.
As such, the new digital currency regulations that Jersey is adopting will only see an amendment to Jersey’s 1999 Proceeds of Crime (Jersey) Law, so that digital currencies such as bitcoin are characterized as currency, reports International Investment.
As a result, exchangers will have to adopt procedures that prevent money laundering.
However, with interest in the digital market expanding it seems as though bitcoin has removed itself from its tainted past. With increased interest in its underlying distributed ledger, the blockchain, continuing to trace a path in various sectors, it looks as though the technology and digital currency will provide benefits to Jersey.
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