Bermuda ICOs, Trusts And Investor Confidence

“Look before you leap” and “Don’t count your chickens before they hatch”.  Numerous sayings derived from Aesop’s fables encapsulate how one might approach investment.

The message, however, is not: “Do not participate”. Rather, it is: “Participate but be aware and manage the risks”. 

Bermuda’s FinTech laws and non-charitable purpose trusts can enhance investor confidence when investing in digital assets.

Investors in digital assets and projects associated with them face numerous potential risks. It can be difficult to adequately determine the fundamental underlying value of a digital asset. Digital assets used as an alternative to fiat currencies are not backed by a central government and only some are collateralised by underlying assets.  The market may lose confidence in the digital assets and leave investors unable to trade, exchange or redeem them.