Bermuda Leagues Ahead: Partners with Coinbase and Circle to Launch World’s First Fully Onchain National Economy
In a historic move that signals a new era for sovereign financial systems, the government of Bermuda has officially announced its intention to transition into the world’s first "fully onchain" national economy. This ambitious initiative is being developed in close partnership with Coinbase, the leading U.S. cryptocurrency exchange, and Circle, the global financial technology firm and issuer of the USDC stablecoin.
The announcement was made by Bermuda Premier David Burt during the World Economic Forum (WEF) Annual Meeting in Davos, Switzerland. Premier Burt emphasized that this collaboration is designed to modernize the island nation’s financial infrastructure, drastically lowering transaction costs and ensuring that all Bermudians can participate in and benefit from the future of finance. The partnership leverages Coinbase’s "Base" network—a Layer-2 blockchain solution—and Circle’s USDC stablecoin to create a robust, transparent, and highly efficient economic model.
According to the official joint statement, the initiative will roll out through a phased pilot program. The first phase focuses on integrating stablecoin-based payment systems across various government agencies. Furthermore, local financial institutions will be encouraged to adopt advanced tokenization tools to manage assets, while a nationwide digital literacy program will be launched to ensure the population is equipped to navigate this new onchain environment.
Bermuda’s journey toward this digital transformation did not happen overnight. The nation has long been a pioneer in crypto regulation, having passed the comprehensive Digital Asset Business Act in 2018. This forward-thinking regulatory framework provided the legal clarity necessary to attract major industry players like Coinbase and Circle years ago. The momentum has been building steadily; in May 2025, a USDC airdrop at a local digital finance forum saw many local businesses begin accepting digital payments, setting the stage for this week's nationwide expansion.
During the Davos summit, Coinbase CEO Brian Armstrong and Circle CEO Jeremy Allaire joined Premier Burt to discuss how blockchain technology can "update" outdated financial systems. Armstrong highlighted that tokenization and stablecoins are not just tools for crypto enthusiasts but are essential for democratizing access to capital markets globally. By transforming Bermuda into a living laboratory for onchain economics, the partners aim to provide a blueprint for other nations looking to bypass traditional banking inefficiencies. This bold step positions Bermuda as the premier global hub for digital asset innovation, effectively merging sovereign governance with decentralized technology.
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