BVI Appoints Authorised Representative for Cryptocurrency Regulation

The British Virgin Islands (BVI) has taken a significant step in regulating the growing cryptocurrency industry by appointing an authorized representative. This move aims to bring transparency and accountability to the sector.

Key Responsibilities of the Authorized Representative

• Submitting financial statements annually, which do not require auditing
• Submitting an annual return that includes prescribed information such as:
  • Details on directors’ fitness and propriety
  • Service providers
  • Complaints received
  • Other relevant matters

Cryptocurrency Mining and Border Restrictions

Cryptocurrency mining is permitted in the BVI, with no current regulations in place. Additionally, there are no border restrictions or obligations for cryptocurrencies, distinguishing them from fiat currency.

Reporting Requirements

There are currently no reporting requirements or thresholds for payments made by cryptocurrency in the BVI. However, the Beneficial Ownership Secure Search System Act 2017 (BOSS) requires BVI companies and their registered agents to record information about beneficial ownership on a central government-controlled database.

Estate Planning and Testamentary Succession

Cryptocurrencies have not been widely used for estate planning and testamentary succession under BVI law. If the unlikely event arises where a deceased person’s cryptocurrency is regarded as an asset situated in the BVI, it cannot be validly transmitted to heirs or beneficiaries until an application is made to the BVI High Court Probate Registry.

To deal with the deceased person’s cryptocurrency, a legal personal representative must be appointed by obtaining the appropriate grant from the BVI Probate Registry. There are two types of grants that may be obtained:

• Grant of Probate (where the deceased left a will that explicitly deals with the BVI cryptocurrency)
• Grant of Letters of Administration (where the deceased did not leave a will that covers the BVI cryptocurrency)

About Carey Olsen

Carey Olsen is a leading offshore law firm with expertise in advising on:

• Corporate and commercial transactions
• Financings
• Investment structures
• Regulatory compliance
• Risk management

The firm has offices in Bermuda, British Virgin Islands, Cayman Islands, Guernsey, Jersey, Cape Town, Hong Kong, London, and Singapore.

Contact Information

[Name] Carey Olsen Rodus Building, PO Box 3093, Road Town, Tortola, VG1110 Phone: +1 284 394 4030 Email: [email]