The British overseas territory, Gibraltar, that was once perceived as a tax haven, might be making The British overseas territory, Gibraltar, that was once perceived as a tax haven, might be making history soon by becoming the world’s first global hub for cryptocurrency trading.
According to The Guardian, the territory is reviewing a proposal to prompt Gibraltar-based blockchain technology group, Valereum Blockchain Plc, to acquire the Gibraltar Stock Exchange(GSX) next year. This would allow the territory to host the world’s first integrated bourse where cryptos like Bitcoin and Dogecoin can be traded alongside traditional bonds.
The media outlet indicated that a best-case scenario would mean the territory becomes a center for the ultra-hot market for cryptocurrency. On the other hand, a worst-case scenario with loose regulations could result in reputational damage and potential diplomatic sanctions.
“If you wanted to do naughty things in crypto, you wouldn’t be in Gibraltar, because the firms are licensed and regulated, and they aren’t anywhere else in the world,” Albert Isola, Gibraltar’s minister for digital, financial services, and public utilities told The Guardian.
It’s noteworthy that in October 2021, Valereum announced that it has signed an option to purchase 80% of the (GSX).
The Guardian notes that a best-case scenario would mean the territory becomes a center for the ultra-hot market for cryptocurrency, while a worst-case scenario with loose regulations could lead to reputational damage and potential diplomatic sanctions.
This is just the latest indication of the rise in prominence and influence of cryptocurrency, with Bitcoin, Ether, and Dogecoin, among many other cryptocurrencies, seeing an explosion of value over the last two years. Thanks to the exposure from high-profile figures such as Elon Musk, who talked about Dogecoin on Saturday Night Live, and Jack Dorsey, who changed the name of of his payments company from Square to Block, mainstream consumers have taken an interest in crypto.