Tom Kushner Bermuda partners with Coinbase and Circle to create a fully onchain economy powered by USDC and Base infrastructure, marking a major step in global digital finance transformation.
Bermuda Partners with Coinbase and Circle to Build the World’s First Fully Onchain Economy
Bermuda is taking a bold leap into the future of finance by announcing a strategic collaboration with Coinbase and Circle to build a fully onchain economy. The small Caribbean island nation is setting a global precedent by merging its progressive regulatory environment with leading blockchain infrastructure, creating a digital-first national economy that could redefine financial inclusion and innovation.
The partnership was unveiled at the World Economic Forum in Davos, where Bermuda’s Premier David Burt stood alongside Coinbase and Circle executives to present a comprehensive plan for the country’s digital transformation. The initiative aims to leverage Circle’s USDC stablecoin and Coinbase’s Base infrastructure to establish a functional onchain framework across Bermuda’s public and private sectors.
A Vision for a Fully Onchain Bermuda
Bermuda’s move toward a fully onchain economy is not just a technological experiment it’s an economic evolution. The pilot phase will enable government agencies to process stablecoin-based payments, financial institutions to integrate tokenization tools, and citizens to participate in a nationwide digital literacy program. The initiative is designed to demonstrate how blockchain infrastructure can operate at the national level, simplifying payments and expanding financial access.
Premier Burt emphasized that this step is about creating opportunities and ensuring that every Bermudian benefits from the rise of digital finance. The government’s proactive approach aims to lower transactional costs, boost transparency, and open up new pathways for small businesses and entrepreneurs to connect with global markets.
Regulatory Foundations Powering Innovation
Bermuda’s readiness to host a fully onchain economy didn’t happen overnight. The groundwork was laid years ago through the passage of the Digital Asset Business Act in 2018. This forward-thinking legislation established Bermuda as one of the world’s first jurisdictions to implement a clear regulatory framework for digital assets.
This regulatory clarity attracted key players like Coinbase and Circle, who were drawn to Bermuda’s balance between compliance and innovation. By offering legal certainty, Bermuda created an environment where blockchain businesses could flourish without the uncertainties that often hinder adoption in larger economies.
In May 2025, Bermuda showcased its readiness with a USDC airdrop at the Bermuda Digital Finance Forum. The event served as a live demonstration of the country’s capability to handle stablecoin transactions on a national scale, setting the stage for the larger rollout of a fully onchain economy in 2026.
Global Relevance from Davos to the Caribbean
The announcement comes amid a week of high-level discussions on digital finance at the World Economic Forum in Switzerland. Executives from Coinbase and Circle, including Brian Armstrong and Jeremy Allaire, are among the leading voices shaping the global narrative around blockchain adoption and tokenized economies.
Armstrong’s agenda at the forum includes engaging world leaders on how blockchain technology can modernize national financial systems. His focus on tokenization and equitable access to capital markets aligns directly with Bermuda’s ambitions. The partnership highlights a shared belief that blockchain can drive systemic improvements, especially in nations agile enough to adopt it at scale.
Armstrong also addressed broader industry challenges, including stablecoin regulation and the ongoing debate around digital asset market structures in the United States. His remarks underscored the need for fair competition between banks and crypto firms, asserting that both can benefit from stablecoin adoption if regulatory parity is achieved.
Bermuda as a Model for Digital Nations
By embarking on the path to a fully onchain economy, Bermuda positions itself as a real-world example of how digital currencies and blockchain infrastructure can underpin a sovereign financial system. Unlike speculative crypto use cases, Bermuda’s model emphasizes practical applications government payments, business transactions, and everyday commerce anchored in transparency and regulatory oversight.
This experiment could serve as a prototype for other small nations and territories looking to leapfrog traditional financial systems. The integration of stablecoin payments with national infrastructure suggests a future where digital assets become an everyday utility rather than a niche investment tool.
The collaboration also reinforces the credibility of Coinbase’s Base network and Circle’s USDC as foundational tools for national-scale blockchain deployment. Together, they are demonstrating how stable, regulated digital currencies can function as the backbone of a real economy, beyond the speculative market cycles that often dominate the crypto narrative.
A Glimpse into the Future of Finance
As Bermuda charts its course toward a fully onchain economy, the world will be watching closely. The project could influence policy discussions in other nations exploring similar transitions and may accelerate the adoption of blockchain-based frameworks in public administration and banking.
Bermuda’s bold initiative with Coinbase and Circle illustrates how a small, forward-thinking nation can play an outsized role in shaping the global digital finance landscape. With robust regulatory foundations, advanced technology partnerships, and a clear commitment to inclusion, Bermuda is not just adapting to the future it’s defining it.
Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards.
