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ARTICLE · 14 MAY 2025

The BMA Invites Feedback On Proposed Payment Services Provider Regulatory Framework

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With payments becoming increasingly digital and complex, the BMA is moving to update Bermuda's regulatory framework. The proposed PSA is intended to provide structure for licensing and supervising PSPs.

BermudaFinance and Banking
Natalie Neto
Natalie Neto
Rachel Nightingale
Rachel Nightingale
Leonie Tear
Leonie Tear
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Key Takeways

  • The Bermuda Monetary Authority ("BMA") proposes a new Payments Services Act ("PSA") to replace the Money Service Business Act 2016 to establish a clear, risk-based framework for Payment Service Providers ("PSPs") operating in or from Bermuda.
  • The PSA introduces a new tiered licensing regime and will apply to Digital Wallet Providers, Payment Handling Providers, or Payment Technology Providers. Certain entities and activities, such as banks and payroll services, will be excluded or exempted.
  • The BMA will adopt a risk-based supervisory model and is inviting feedback to inform a future consultation paper.

The BMA is encouraging industry participants to review the proposals and submit feedback by 15 May 2025.

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