The Cayman Islands, a British autonomous overseas territory in the Caribbean which has attracted many cryptographic companies in recent years thanks to its friendly regulatory structure, now obliges companies that provide childcare and trading services to obtain a license.
According to the Virtual Asset Regulations (service providers) updated to the country (modification), the new law will come into force on April 1, 2025, and companies that will already operate in the country will have to submit their request before June 29, 2025.
The request process requires guards to disclose the types and quantity of crypto they plan to hold on behalf of their customers as well as justify the secure storage of these cryptocurrencies, among others.
Trading platforms, on the other hand, will have to give an overview of their expected income and the physical location of their operational equipment and will disclose how they will guarantee the safety of these assets.
The initial set of the rules of virtual asset service providers from the Cayman Islands (VASP) entered into force in 2021. The framework was then designed to “strengthen” the government’s capacity to draw new entities.
Since then, several small and large crypto companies have obtained licenses in the country, notably Coinbase, Binance, in the bit. Others have even opened the head office in the region, such as the SUP Foundation.
