Binance, the world’s no.1 cryptocurrency trade and exchange site is continuing its current strategy of opening offices in known European tax havens. Last week it was Malta, set to become the site of a new platform that will cater for crypto-to-fiat currency trading, and this week it’s the millionaire’s retreat that is Jersey who are getting the Binance treatment.
The world is studded with “tax havens”, i.e., countries or principalities whose tax laws are far more lenient and beneficial to wealthy individuals and big business than regular countries. Among the more high profile tax havens are the Cayman Islands, Grenada, Andorra and Luxembourg.
Jersey: The Millionaire’s Playground
Pound for pound, few tax havens can match the number of millionaires per capita than the Channel Island Crown Dependency that is Jersey. In order to gain residency there, a person must be able to deposit and leave the equivalent of £1 million in a Jersey bank account where it will remain for the duration of their stay.
The Channel Islands have traditionally been a European tax haven, and there are currently at least six UK billionaires living there, including Sir David and Sir Frederick Barclay (Barclays Bank), BHS wrecker Philip Green, and Dame Mary Perkins (pictured) and her husband Douglas, cofounders of the Specsavers retail opticians chain.
Jersey To Benefit From Binance Billion Dollar Venture Fund
The plan is for Binance to team up with a local tech promotional company called Digital Jersey. The Binance Foundation will provide training and support for Jersey’s blockchain ecosystem for years to come. Binance Labs have a $1 billion “war chest” designated for venture capitalism such as funding local Jersey startups.
In return, Digital Jersey will help Binance establish themselves in Jersey as smoothly and painlessly as possible. They can initiate connections for Binance with local banks, and assist them with “red-tape” matters such as applying for and receiving that all-important exchange license form the Jersey government.
Digital Jersey will benefit from this partnership; Binance have stated they will be looking to hire 40 employees for their Jersey offices, and would prefer to hire local talent and then train them up to speed. Digital Jersey can assist with the recruitment and training of local talent, all funded by Binance.
Binance’s Global Expansion Strategy
Founder and CEO of Binance Changpeng Zhao issued this statement regarding the Jersey move:
“We have chosen Jersey to be the next big step in our global expansion strategy for its clear and pro-crypto investment and regulatory environment. With its local economy based on a major currency (GBP), and its close proximity to the UK and Western Europe, we are confident the cooperation with Jersey will not only benefit the local economy, but also form a strong operational foundation for our expansion into the rest of Europe.”
Binance remain the outstanding success story of the blockchain era. Less than a year ago, Binance didn’t even exist, yet now they handle $1.5 billion in cryptocurrency transactions daily, and are the no.1 digital currency exchange site in the world.
While the crypto market continues to struggle and currency like Bitcoin and Ethereum sees its value drop on a daily basis, Binance claims its user-base has quadrupled in 2018, and now stands at 9 million regular users. The addition of Jersey means that the Binance empire continues to grow, with locations in Hong Kong, Japan, Malta and now the Channel Islands.