The phenomenal rise in the price of bitcoin during the course of this year mirrors the extraordinary amount of enquiries (and subsequent instructions) that our team has received in relation to the formation of cryptocurrency funds and digital token launches.
As cryptocurrencies and digital tokens continue their aggressive push into the mainstream investment world, regulators and lawyers worldwide are grappling with how to fit this square peg of digital assets into the round hole of the existing legal and regulatory framework. As a result, this is one of the most exciting (and, if I am honest, slightly scary) times in my legal career and my day-to-day mindset amusingly mirrors the extraordinary fluctuation in the price of most of the cryptocurrencies this week. I know my colleague Oliver Bell will be blogging about this next week and so for now, I’ll focus on one of the narrower areas our team has been trying to get its collective head around.
In what I fear may be the least anticipated sequel since Sharknado 5, the second part of this blog looks at two real world scenarios, taken from recent transactions in the hospitality sector, that illustrate the flexibility of the BVI’s corporate code and why it matters for investors in this space. Both are based on transactions which we recently completed, but with names and certain details changed to protect client confidentiality.
As Chair of the BVI Investment Funds Association, I eagerly awaited the publication of the Capital Economics Report like a kid in the run-up to Christmas.
The BVI has a long-standing reputation in this industry for excellence, dating back to the publication of the Mutual Funds Act in 1996, but we have never had the statistics to back up every practitioners’ firm belief in the jurisdiction that we have one of the globe’s largest and most flexible fund jurisdictions.