The Bahamas Securities Commission has released the updated Digital Assets and Registered Exchanges (DARE) Bill 2023 for public comment.
The modifications to the 2020 law aim to broaden the definition and list of digital asset business operations, as well as add rules for consumer and investor protection, risk management, market innovation, and development.
The Bill also strengthens financial and reporting requirements for digital asset businesses, as well as requirements for custody and custodial wallet services, operating a digital asset exchange, advising on and managing digital assets, providing staking services, and a comprehensive approach to stablecoin regulation.
The Commission hired international law firm Hogan Lovells to prepare the new DARE Bill.
Christina Rolle, Executive Director of the Securities Commission of The Bahamas, announced the start of consultations, saying, “I am pleased to present for consultation the Digital Asset and Registered Exchanges Bill 2023, which will modernize and strengthen requirements for conducting digital asset businesses in The Bahamas, as well as for the protection of consumers, investors, and the markets.”
“As we seek to develop and expand the legislative framework, we invite the public to participate in this consultation process.” DARE 2023, if implemented, will be among the world’s most advanced pieces of digital asset law, aligning with The Bahamas’ commitment to enabling development and innovation in a well-regulated environment.”
The Bill is set to take effect this year.