Island of Jersey Approves Regulated Bitcoin Investment Fund

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The BBC is reporting that Global Advisors Bitcoin Investment Fund (GABI) has received certification by the Jersey Financial Services Commission authorizing the commencement of operations beginning on the 1st of August.

According to Daniel Masters of Global Advisors, the move will allow major investors (which include insurance companies) to invest in the emerging digital currency for the first time.

The Investment fund would not allow the common investor to participate, however.

“This is institutional strength and it’s an absolute world first,” Masters was quoted as saying.

“This is believed to be the first regulated Bitcoin fund in operation and Jersey is pleased to be paving the way. Fintech, which broadly defines the emerging digital industry in finance, is a sector that I believe holds significant opportunities for Jersey. In April this year, when I presented the Government’s policy framework for the future of our financial services industry, I made it clear that innovation will be central to Jersey’s future prosperity. I also emphasised that Government will offer its full support for innovative measures undertaken by industry and the regulator,” said Senator Philip Ozouf.

“I therefore welcome the decision of the Jersey Financial Services Commission to approve the launch of the Island’s first regulated Bitcoin fund. We are working closely with the Commission, industry and Digital Jersey to help develop the Island as a natural hub for fintech business. We are committed to maximising the benefits and opportunities of cryptocurrencies like Bitcoin in a well-regulated environment.”

Here in the United States, a similar fund is available and run buy Barry Silbert, aptly named the Bitcoin Investment Trust.

As far as finances go, authorities are expecting participating entities to obey tax law and other rules as they would with other legal investments.

[textmarker color=”C24000″]Source[/textmarker] BBC, Gov.je