Bermuda has taken another step in its long experiment with digital finance, announcing a partnership with Coinbase and Circle to integrate stablecoins into government services, local businesses, and consumer payments.
The initiative aims to establish what the partners describe as the world’s first fully onchain national economy. At its core is the use of USDC for faster, lower-cost transactions across public agencies and private commerce, alongside enterprise tools that allow government departments to process stablecoin payments directly. The program also includes support for banks exploring tokenization and settlement infrastructure tied to regulated digital assets.
Bermuda’s government has positioned the move as a practical extension of its regulatory groundwork. The country was an early mover with its 2018 Digital Asset Business Act, which set out licensing and compliance standards for crypto firms well before many larger jurisdictions took similar steps. That framework has helped attract exchanges, insurers, and blockchain firms seeking regulatory clarity rather than loose experimentation.
Premier E. David Burt said the focus of the initiative is on expanding opportunity and cutting costs, with early pilots designed to be voluntary rather than imposed. Those pilots are expected to roll out shortly, with a broader expansion planned around the May 2026 Digital Finance Forum, where Bermuda intends to showcase how onchain systems can operate at a national scale without forcing adoption.
The technical backbone of the effort will rely in part on Base, Coinbase’s Ethereum-linked network, which is being positioned as infrastructure rather than a consumer-facing product
Coinbase’s chief executive framed the announcement as a milestone for public-sector blockchain use. Brian Armstrong, co-founder and CEO of the exchange, said: “Huge. An entire country is coming onchain, using USDC and @base. Excited to support Bermuda’s transition toward an onchain economy that empowers the people, local businesses, and institutions. Open financial systems will drive economic freedom.”
The technical backbone of the effort will rely in part on Base, Coinbase’s Ethereum-linked network, which is being positioned as infrastructure rather than a consumer-facing product. For local businesses, the promise lies in cheaper settlement and fewer intermediaries. For residents, the emphasis is on digital literacy programs intended to make stablecoins understandable and usable, rather than abstract financial instruments.
Whether Bermuda’s model can scale beyond a small island economy remains an open question. Yet the partnership underscores a growing shift in how governments are approaching blockchain. Instead of speculative enthusiasm or outright bans, some are testing narrow, regulated use cases that sit alongside existing systems. Bermuda is betting that moving carefully, and visibly, onchain can translate regulatory ambition into everyday transactions.
