Coinbase and Binance Among Crypto Leaders Securing Licenses Under New Cayman Islands Regulation

As highlighted in a recent CoinDesk report, the Cayman Islands is set to modernize its regulatory framework for cryptocurrency with the introduction of the Virtual Asset Service Providers (Amendment) Act. This new legislation, which will become effective on April 1, 2025, mandates that all cryptocurrency custody and exchange firms obtain relevant licenses to operate within its jurisdiction. Existing companies are urged to submit their applications by June 29, 2025, which must include comprehensive plans regarding asset security and operational protocols. Notable industry players such as Coinbase, Binance, and Bitwise have already secured their licenses, indicating a growing trend towards regulatory compliance in the sector. Additionally, entities like the Sui Foundation have chosen to base their operations in the Cayman Islands, reflecting the region’s appeal as a crypto-friendly environment amidst evolving global regulations.