Bermuda Partners with Circle and Coinbase to Launch World’s First Fully On-Chain National Economy

Executive Summary

• •
  Bermuda has announced plans to transform into the world’s first fully on-chain national economy through a partnership with Circle and Coinbase.
• •
  The initiative, unveiled at the World Economic Forum 2026, aims to integrate blockchain infrastructure into government agencies, local banks, and small businesses.
• •
  Circle’s USDC will serve as a primary pillar for the ecosystem, enabling fast, low-cost payments for merchants and a national digital stimulus.

Nationwide Transition to Digital Assets

The Government of Bermuda announced a landmark collaboration with Circle and Coinbase on Monday to transition the island nation into the world’s first fully on-chain national economy. Revealed during the World Economic Forum Annual Meeting in Davos, Switzerland, the initiative aims to replace traditional, high-fee payment rails with digital asset infrastructure. Under the agreement, Circle and Coinbase will provide the necessary enterprise tools and technical onboarding to modernize Bermuda’s financial landscape for banks, insurers, and consumers.

Leveraging Digital Assets for Economic Efficiency

This move addresses the high costs and restrictions inherent in traditional payment systems for small, entrepreneurial economies like Bermuda. By utilizing Circle’s USDC stablecoin, Bermudian merchants can now bypass expensive onshore payment processors to accept low-cost, dollar-denominated payments. This transition is designed to keep economic value circulating locally while providing residents with better access to global finance via modern digital wallets.

Premier E. David Burt emphasized that the initiative is focused on lowering costs and ensuring Bermudians benefit directly from the future of finance. Coinbase CEO Brian Armstrong praised Bermuda’s leadership, noting that the nation’s clear regulatory framework serves as a model for public-private collaboration. Government agencies are now expected to begin piloting stablecoin-based payments as part of a broader effort to boost national resilience and inclusion.

Building on a Foundation of Regulatory Leadership

Bermuda’s pivot to an on-chain model builds upon its established status as a global leader in digital asset regulation. In 2018, the country introduced the Digital Asset Business Act (DABA), one of the world’s first comprehensive frameworks for the sector. Both Circle and Coinbase were among the first firms to receive licenses under this regime, and their presence has since grown alongside the island’s expanding fintech ecosystem.

Bermuda’s initiative is a landmark case for regulated, on-chain national economies. Coupled with Circle’s global expansion, like the Bybit partnership to boost USDC liquidity, it signals a clear acceleration toward the stablecoin’s mainstream financial integration.