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02 FROM REGISTRAR IN 1984 TO PRIVY COUNSELLOR IN 2024: AN INTERVIEW WITH THE RIGHT HONOURABLE DAME JANICE PEREIRA DBE, LL.D, RETIRED CHIEF JUSTICE OF THE EASTERN CARIBBEAN SUPREME COURT
A SPECIALIST COURT FOR A GLOBAL HUB: CELEBRATING 15 YEARS OF THE BVI COMMERCIAL COURT
A GLOBAL STANDARD: CHERNO JALLOW ON THE FSC’S ROLE IN THE BVI’S GROWTH
REGISTRAR’S REFLECTIONS: A JOURNEY THROUGH THE EVOLUTION OF THE BVI REGISTRY
PIONEERING LEADERSHIP IN FINANCIAL SERVICES: AN INTERVIEW WITH VANESSA KING, MANAGING PARTNER, O’NEAL WEBSTER AND CHAIR OF THE CARIBBEAN AND LATIN AMERICA REGION OF
“The future belongs to those who prepare for it today.”
– Malcolm X
Forty years ago, in 1984, the world watched as Apple introduced the Macintosh personal computer, ushering in a new era of technology and communications. At that same time, the British Virgin Islands (BVI) introduced the International Business Companies (IBC) Act, planting the seeds for a financial services industry that would one day stand at the forefront of global innovation. Back then, fax machines were the norm, and multinational enterprises were only beginning to flourish. Today, as artificial intelligence, digital assets, and instantaneous connectivity redefine commerce, the BVI serves as a testament to foresight, flexibility, and enduring strength—proving Malcolm X’s observation that “the future belongs to those who prepare for it today.”
This special anniversary issue of Business Insight celebrates the institutions, leaders, and visionary policies that have propelled the BVI from an ambitious newcomer into a leading international financial centre. From the outset, success was predicated on building firm foundations. The BVI Financial Services Commission (FSC), the Registry of Corporate Affairs, the Commercial Court, the Financial Investigation Agency (FIA), the BVI International Arbitration Centre (IAC), and the International Tax Authority (ITA) each play a crucial role. Together, they form the bedrock of a legal and regulatory framework that ensures the BVI is trusted, competitive, and responsive to global standards.
We begin our reflection with The Right Honourable Dame Janice Pereira, featured in “From Registrar in 1984 to Privy Counsellor in 2024.” Once Registrar of Companies at the inception of the IBC Act, Dame Janice’s insights reveal how forward-thinking leadership and rigorous oversight can transform a legislative idea into a defining international platform. In “Building a Global Standard: the FSC’s Role in the BVI’s Growth,” Cherno Jallow shares how thoughtful lawmaking and regulatory refinement over the last two decades have maintained the BVI’s edge in a competitive world.
The continuous adaptation of systems and practices is evidenced throughout this issue. Myrna Herbert’s insights in “Registrar’s Reflections” highlight how digitalization has streamlined corporate administration, while Errol George, in “Tackling Financial Crime,” illustrates how vigilance and enforcement preserve the BVI’s reputation. Latoya James, in “BVI International Tax Authority: Advancing Transparency, Cooperation, and Compliance,” spotlights the ITA’s international engagement and dedication to fostering trust.
In dispute resolution, the BVI’s readiness to serve global commerce is exemplified by its Commercial Court, highlighted in “A Specialist Court for a Global Hub,” by Richard Evans and the International Arbitration Centre, featured in “Resolving International Disputes” by Shan Greer, which have collectively elevated the BVI into a respected center for arbitration and litigation.
The BVI’s symbiotic relationship with Asia underscores its global reach. More than half of the BVI’s active Business Companies have owners from Asia, with China—encompassing Hong Kong and Macau— leading the charge. “From BVI to Asia: Shaping the Future of Global Investment” features Asia-based voices like Carson Wen, Michael Gagie and Kristian Wilson. Their shared experiences reveal how BVI structures have become indispensable to cross-border business, enabling growth, stability, and opportunity.
Meanwhile, “Pioneering Leadership in Financial Services” celebrates Vanessa King, Managing Partner at O’Neal Webster, and her rise to global leadership within the Society of Trust and Estate Practitioners (STEP). Her story, like many nurtured in the BVI, exemplifies how local expertise and talent have been exported worldwide, raising standards and inspiring confidence in international finance. Lastly, forwardlooking “In a Global Leader for Digital Assets”, Peter Vas examines how the Virtual Asset Service Providers (VASP) legislation prepares the BVI to lead in the era of digital finance, placing it at the cutting edge of global asset innovation.
From Apple’s Macintosh to AI-driven commerce, from the IBC Act to VASP legislation, the BVI’s journey embodies the principle that change is not to be feared but embraced. As we look ahead, the lessons of the past 40 years—proactive regulation, global outreach, unwavering integrity, and a willingness to embrace the new—will guide the BVI forward. In an era of rapid technological advancement and shifting economic powers, the BVI’s proven ability to adapt ensures that it remains, in the words of Malcolm X, firmly prepared for the future that belongs to us all.
ELISE DONOVAN Chief Executive Officer
LL.D, RETIRED CHIEF JUSTICE OF THE
Over the past 40 years, the British Virgin Islands (BVI) has transformed into a global financial hub, and much of this success can be traced back to the solid legal foundation laid by leaders like Dame Janice Pereira. As the first Virgin Islander appointed to His Majesty King Charles III’s Privy Council, Dame Janice has been instrumental in guiding the BVI’s legal evolution. In this interview, she reflects on her remarkable journey and the critical role the legal system has played in fostering economic growth and international respect for the BVI.
Dame Janice was born in the picturesque island of Virgin Gorda, BVI and graduated as valedictorian from high school at the early age of 17 years. Recognised for her talent, the Government allowed her to pursue her academic ambitions a year earlier and granted her a scholarship leading to a law degree at The University of the West Indies.
The success of her studies is evident as she was called to the Bar of the British Virgin Islands in 1981 and proceeded to play a critical role as the Registrar of Companies when the International Business Companies Act was passed in 1984. Then up until 2003, she held Associate Attorney and Attorney roles at J.S. Archibald and Company, Harney Westwood & Riegels and McW Todman & Co. She also served as a law partner in Farara GeorgeCreque & Kerins and engaged in active practice at the Bar in the conduct of matters at all levels of the Courts from 1985 to 2003 in Tortola, BVI.
In 2003, the Dame joined the Eastern Caribbean Supreme Court as a High Court Judge and later was elevated to the position of Justice of Appeal in 2009. Shortly after on the 24th October 2012, she was sworn in as the first female Chief Justice of the Eastern Caribbean Supreme Court and remained at the centre of driving change in the region, resulting in her being awarded Dame Commander of the Order of the British Empire by Her Majesty, Queen Elizabeth II in 2013.
Honourable Justice Pereira DBE has both witnessed and been crucial to more than forty years of innovation within the British Virgin Islands (BVI) commercial legal system. Its development has laid the foundations for the BVI to become a globally renowned international financial and business centre.
The Dame’s latest appointment to His Majesty’s Most Honourable Privy Council, following her retirement as Chief Justice of the Eastern Caribbean Supreme Court, makes her the first Virgin Islander to sit on the Privy Council.
Speaking with Business Insight, Dame Janice reflects on the seismic changes the BVI’s legal system has undergone since the launch of the first International Business Company, and what she believes will drive further growth for the BVI in the future.
Investment mediated through BVI Business Companies plays a vital role in the global economy, facilitating $1.4 trillion in cross-border trade and investment, equivalent to 1.5 per cent of global GDP, and supporting around 2.3 million jobs, globally.
But winding the clock back 40 years to the launch of the first International Business Company, such an impact on the global stage would have seemed an unlikely outcome.
Like many countries, the BVI faced the economic impact of the USA’s mass repeal of double tax relief treaties. To combat its impact, a group of forward-looking visionaries within the legal sector and Government took radical action to help establish the BVI as a leading international business centre. At the heart of this was spotting the need for creative, flexible and business-friendly corporate vehicles, incorporated in the BVI, underpinned by a rigorous legal framework. In 1984, The International Business Companies Act was born, lighting the touchpaper for a new era of innovation in financial services.
But legislation alone would not ensure the success of the International Business Company (IBC). It needed a robust legal framework, new infrastructure and creation of the registry. In her role as Registrar at the time, Dame Pereira helped shape this. In her words, her team helped define “how the registry of companies would work and what the Registrar of Companies would be required to do”.
The real test of the legislation, and the work that followed to enable it to work in practice came with registration of the first IBC – a landmark moment for both the BVI and its financial services community that Dame Janice recalls vividly. “When the Act was passed and the first IBC company was registered, needless to say it was a feat. Having accomplished that, you’ve reached this far - and now it was being road tested. I felt a sense of pride really that we were able to, to get it up and running”.
Innovative though the IBC Act was, success did not happen overnight; there was slow growth in the registration of companies until a watershed moment followed years later. Some cite the
date of 8/8/88 as a big bang moment, with a boost from Chinese companies choosing to incorporate on a date held to be extremely lucky in Chinese Culture – kickstarting the consistent demand for IBCs from Asia. Dame Janice cites the turmoil in Panama in 1989 as a key driver. “It was really quite something, you know, hundreds of companies that were simply coming, migrating to the Virgin Islands. At that time I was in private practice. The fax machine was then the premier medium of communication, and I recall continuous reams of faxes containing documents for company incorporations.”
As demand for IBCs took off, Dame Janice noted how important it became to build sufficient capacity in the commercial legal system to ensure an efficient and responsive experience for international companies, without compromising on the legal process or scrutiny applied. “I would be sitting there managing the court and managing company incorporations and we would have boxes of new companies, sometimes up to 300 in a day to be registered. We needed to build efficiency. It needed to be speedy, we needed to demonstrate that we had the capacity to really operate and run this. I was recommending that the entire corporate registry be moved out of the Supreme Court so that it has its own Registrar, its own staff to become more efficient, more responsive in terms of the work that was needed, without undermining the legal structures that underpin it.”
The growth in the number of IBCs incorporating on the island played a critical role in the development of the BVI’s professional and legal services ecosystem. And at the same time, the strength of its legal system has become one of the reasons it is a trusted financial centre.
With an increasing number of companies came an increasing number of disputes requiring litigation, a trend Dame Janice picks out as a milestone moment for the commercial legal services industry. “I recall seeing when the first bit of litigation came about as a result of a dispute. I call it when the IBCs came of age, and disputes were likely to come about…That was in or around1994.”
While litigation continued to increase, and as the British Virgin Islands grew into a pre-eminent financial services hub, it also placed additional demands on the Eastern Caribbean Supreme Court (ECSC), the superior court of record for the British Virgin Islands used to settle legal disputes. “We needed now another tier which would ensure that disputes involving BCs would be determined , whether disputes about ownership of shares, liquidation, or shareholder agreements… In essence, a specialist court to deal with commercial disputes.”
The Commercial Division of the Supreme Court, commonly known as the Commercial Court, was established in 2009. Fully independent, and funded through the government, its physical
Just recently, the position taken by the BVI Court in respect of the interplay between liquidation and arbitration was highlighted and upheld by the Privy Council which went further in holding that a long-accepted decision of the English Court of Appeal should no longer be followed.”
situation on the BVI represented a coup for the British Virgin Islands in relation to the other eight jurisdictions that are also members of the ECSC, reflecting the quantity and quality of commercial litigation in the BVI, and reinforcing the legal system that underpins the BVI’s role as a leading financial centre on the global stage. As Dame Janice highlights, “the BVI, because of its high volume of companies, generates a large volume of commercial litigation involving, in many instances, novel and complex issues, and large sums of money. The standard of legal preparation and advocacy is also high. This ensures that judges receive high quality assistance in keeping with the highest traditions of the legal profession notwithstanding the hardfought nature of the litigation.”
Over the past 40 years, since the first IBC was incorporated, the BVI and its commercial legal system has embraced innovation and best practice in order to lay the foundations for the British Virgin Island’s growth. Nowhere is this more apparent than with technology.
Under Dame Janice’s leadership, the Court has successfully digitalized, bringing better resiliency, efficiency and case management for all parties. The BVI was one of the countries to pilot the digitalisation of the ECSC in the early 2000s, implementing a server-based digital case management software. “We dreamed of a system which would allow e-filing from anywhere, anytime and internet-based which would serve not only the legal profession on the front end but also allow court staff and judicial officers on the back end to manage their case load.”
Working with the global technology company, Crimson Logic, the Court developed and deployed a bespoke product that proved its worth in ensuring operational continuity in the aftermath of Hurricane Irma and during the global pandemic. Embracing innovation hasn’t just improved the resiliency and experience of the legal system in the BVI, it has burnished its reputation for adopting best practice for an international audience. As Dame Janice points out, it has been “hailed by many as a game-changer in the delivery of court services across the OECS region, in terms of its ease and accessibility from anywhere in the world.”
Looking ahead, it’s clear that Dame Janice does not envisage the Commercial Court will stand still or rest on its laurels. Greater demand for financial services within the BVI requires greater capacity within the legal system, and it must balance legal rigor with attractiveness on an international stage – a familiar trend over the past 40 years. “The Commercial Court has to position itself as it were to be attractive to persons who are seeking a jurisdiction for the resolution of their dispute, whether it’s through the courts, whether it’s through the sister regime, which is arbitration and other types of arrangements, for example.”
She sees it as important to invest in the physical infrastructure of the court, and increase the resourcing of the Court through adding a Master to support the two full-time judges, allowing their focus on more complex cases: “Why should a judge of the commercial court have to take time out to deal with simple corporate, restorations? Perhaps a master can take that load off, deal with those things.”
One thing that won’t change is the caliber of judges that have sat on the Commercial Court, nor the Court’s relationship with the Privy Council as the final court of appeal. These are key to the Court’s international credibility and influence. “Having the court manned by highly experienced judges is important to the international reputation of the Court and the role it plays in developing the jurisprudence referred to and followed not only in our region but in other courts around the world. Just recently, the position taken by the BVI Court in respect of the interplay between liquidation and arbitration was highlighted and upheld by the Privy Council which went further in holding that a longaccepted decision of the English Court of Appeal should no longer be followed.”
After an era of exceptional service, Dame Janice announced her retirement from ECSC earlier in 2024, and was subsequently appointed to the King’s Privy Council. She notes of this latest appointment she feels “deeply humbled and singularly honoured to have been selected to serve in this role”. The Judicial Committee of the Privy Council (JCPC) has also since announced that Dame Janice has accepted an invitation from the JCPC’s chairman Lord Reed to sit with the JCPC in London for a week in December 2024 to hear scheduled appeals.
The lessons she has learned over such a prestigious legal career should inspire and encourage the next intake of legal professionals. Her advice to the next generation of British Virgin Islanders is that hard work and ambition pays off. “You must be able to simply grasp the opportunity, work hard and be passionate at what you do. And that, in essence, will determine how far you go.” And for those that do, the sky is the limit: “If you ask me whether I had a plan to be on the bench of the Eastern Caribbean Supreme Court, the answer is definitely no… but that opportunity presented itself and I thought long and hard about it and, and felt this is service that I can give, not just to the Virgin Islands, but to the wider Caribbean in terms of the regional court.”
Dame Janice is a difficult act to follow, but her ethos as a leader demonstrates how she has been at the center of much innovation in the British Virgin Islands over the past 40 years, and should set the example for those who aim to build on her success: “It is important as a leader to be inclusive. To be ready to listen to the ideas of others. To build on those ideas, discuss them, include them in your vision and having them understand what your vision is.”
By RICHARD EVANS
Since opening its doors for business 15 years ago, the BVI Commercial Court has played a central part in the continued growth and development of the BVI as an international financial centre.
Following the success of the 1984 International Business Companies Act, the BVI’s financial services industry continued a trajectory of rapid development. As part and parcel of that development, commercial disputes developed for those who had chosen to incorporate here or had utilised one of the BVI’s financial structures.
Before the establishment of the specialist Commercial Court, such disputes were determined by High Court Judges. In addition to adjudicating over commercial disputes, these judges were responsible for serious criminal cases as well as matrimonial and property disputes. Despite the increasingly demanding workload, the judges worked with efficiency and diligence. These principals would come to lay the foundations of the Commercial Court.
As it became more and more obvious that the BVI required a dedicated court to deal with commercial disputes, active debate ensued as to the form that it would take. The option that found favor and which proved to be successful was to create the Commercial Court as a specialist court within the Eastern Caribbean Supreme Court. This meant that the Commercial Court, though based in the BVI, was available for use to any of the other eight jurisdictions that comprise the ECSC.
An important advantage of the Commercial Court forming a part of the ECSC is that, from the outset, it had access to a Court of Appeal comprising of established justices.
And while the ECSC Court of Appeal sits in the BVI three times a year, it is possible to seek a listing at any time of year in urgent cases.
The final Court in the system is the Privy Council, whose judges comprise the Supreme Court Justices of the United Kingdom. For the most part, any BVI final order enjoys a right of appeal to the Privy Council, as of right, without the need for substantive permission to appeal (although procedural leave is still required). This is an extremely strong selling point for the jurisdiction, and the BVI sends a significant number of commercial appeals to the Privy Council every year.
Speaking at the start of the legal year 2009/10, the then Chief Justice of the Commercial Court remarked:
“This Division is intended to specialise in and bring a new and dynamic dimension to cross-border litigation … The aim of this division of the Court is to facilitate the speedy and efficient resolution of commercial cases in our system, in a manner that permits the Court to maintain a competitive international profile.”
Those objectives have certainly been realised.
Without doubt, much of the success of the BVI Commercial Court is due to its first and founding judge, Edward Bannister KC. He was a leading London commercial/chancery silk, who had been instructed in a number of BVI matters. When he accepted the position of the Court’s first judge, Justice Bannister undertook the significant task of providing the court with a solid and dedicated procedural code, namely dedicated provisions within the general ECSC Civil Procedure Rules, together with relevant practice directions. It is a testament to the quality of those provisions that over the years, they have required little amendment.
In the early days of the Commercial Court, whilst waiting for bespoke court premises to be made available, judges occupied a rented building immediately adjacent to “Dolphin Discovery” – a now closed tourist attraction outside Road Town.
Tourists from around the world, many of whom had moments earlier left their cruise ship to interact with wonderfully intelligent aquatic mammals were often treated to an impromptu half-time show of seeing fully robed counsel, loitering immediately in their vicinity frantically negotiating or, in some cases, preparing. Such joys ceased when the Court moved to its purpose converted dedicated premises, for use as an International Commercial Court.
Despite the Covid pandemic, flooding and damage from Hurricane Irma (one of the most powerful Atlantic hurricanes on record), that building remains the court’s home today.
Whilst the Court’s jurisdiction is carefully defined, and may conveniently be summarised as matters of a commercial and chancery nature, and its value limit clear (it generally is receptive to cases worth in excess of 500,000 USD) the reality is that the width and variety of disputes that it determines is extremely broad. From shareholder disputes involving warring family members, to disputes arising from aviation incidents, to the most cutting-edge issues of crypto disputes, and all in between. There is little risk of overstatement to suggest that the BVI Commercial Court has seen it all during its relatively short existence.
Whilst it is home to many disputes involving BVI based insolvency practitioners, and also some commercial disputes of a domestic nature, its global reach is perhaps the most notable attribute of the Commercial Court.
A key selling point of the Court is its expertise and experience with legal, cultural and jurisdictional issues that arise in global disputes. In particular, the Court has built a wealth of experience in relation to disputes originating in those countries with which the BVI financial services industry does most business. For example. in respect of shareholder disputes originating from Asia, not only is the Court very familiar with cultural norms from the region, but it is also flexible in terms of its sitting arrangements. The Court is amenable, in particular in relation to trial matters, to commence sitting earlier in the BVI day, conscious of the 12hour time difference with Asia, especially where there is to be (remote) witness testimony. The Commercial Court is also adept in receiving evidence via translators and with hearing expert testimony in relation to matters of international law.
Since its creation, the BVI Commercial Court has enjoyed a symbiotic relationship with the legislative and policy developments in the BVI over the 40 years since the International Business Companies Act was introduced. Going forward, it will continue to be a critical attraction to international businesses setting up in the BVI.
Partner,
Mr. Evans is a Partner in Conyers’ Litigation & Restructuring practice and one of the longest established commercial advocates in the jurisdiction.
He has acted in over 30 reported commercial disputes within the jurisdiction. His practice includes shareholder disputes, restructuring, obtaining urgent interim relief, fraud/asset tracing and the enforcement of arbitration awards. He appears at all levels of the Court system: Commercial Court, Court of Appeal and Privy Council.
AQ&A with Cherno Jallow, KC, Director, Policy Development and External Relations at BVI Financial Services Commission (FSC) on the success of the FSC since its inception. Prior to his current role, Cherno Jallow served as Attorney General of the British Virgin Islands from 1999 to 2007 and has been lead drafter of a number of financial services and related legislation, including the Financial Services Commission Act, 2001, which formally established the FSC
Can you share your insights on how the legal framework of the BVI IBC Act has evolved over the past 40 years? What key legal reforms or updates do you consider pivotal in maintaining the BVI’s prominence in the global financial landscape?
The IBC Act was, without a doubt, the pacesetter for the BVI’s companies regime. It introduced a flexible and business friendly company incorporation mechanism that was attractive to investment. It lasted 20 years and would have lasted for another 20 years, but for fundamental reforms necessitated by evolving global standards – that is the EU Directive on the Taxation of Savings Income – which meant we had to create a single companies regime, essentially comprising the IBC Act and the Companies Act. That gave birth to the current BVIBCA. Initially, the idea of amalgamating the IBC Act and the Companies Act into a single uniform enactment was not thought of by some as a good one. There was fear about the Virgin Islands losing a lot of business. In 2002, the Government commissioned a study on the implications of the EU Directive on the Territory’s companies regime and subsequently decided to proceed with the enactment of the BVI Business Companies Act (BVIBCA), as the study showed minimal potential loss of business while at the same time ensuring compliance with the EU Directive to avoid negative consequences – and the study was right!
One of the realities of modern-day business is the recognition that the financial services landscape is not static; it is always evolving and, with it, the need for constant reform if one is to remain relevant, attractive and competitive. The key factor to remain attractive and competitive is compliance with established international standards and adopting international best practices. It is in this context that we carry out regular reviews of the BVIBCA to determine areas that require reform, including updating specific subject matters to remain relevant and continue to have an edge. We also embrace ideas from practitioners where we see opportunities for relevant reform.
Since its inception, what have the key milestones for the FSC been?
The FSC was established at a time of increasing global emphasis on the need for regulatory independence in financial services. The FSC Act, 2001, provided the appropriate legal framework for the BVI to meet this challenge. It established the FSC with a strong mission, while at the same time ensuring a fluid and respectful relationship between the FSC and the Government. It is in these contexts that the FSC commenced the process of key legislative reforms to transform the institution into a much more effective regulatory and supervisory body.
The FSC has been instrumental in championing compliance with established international standards and being a key ally in the development and execution of those standards. Testament to this is the impressive number of international organisations the FSC has joined. It was able to gain membership in the International Organization of Securities Commissions (IOSCO) thanks to the strength of its legislative reforms. The FSC also initiated and encouraged the enactment of the Financial Investigation Act in 2003 which established the Financial Investigation Agency (FIA) – this was considered crucial in protecting the Territory’s financial services perimeter.
Within my own capacity as a Director of the FSC, I played an active role in the Caribbean Financial Action Task Force (CFATF), having acted as Chair on behalf of the BVI twice.
The FSC also sets milestones thanks to its nimbleness in adapting itself to meet the evolving needs of financial services. It carried out reforms to the BVI’s primary financial services product – company incorporation – which transformed the then IBC Act and Companies Act into the single statute of the BVI Business Companies Act. In addition, it led the modernisation of the Mutual Funds Act into what is now the Securities and Investment Business Act thereby embracing the key principles governing securities regulation.
All that said, many believe the biggest milestone on the
company registry side is the development of the VIRRGIN (Virtual Integrated Registry and Regulatory General Information Network) electronic platform to support company transactions, with the BVIBCA serving as its legal foundation.
What have been the key benefits of the December 2001 Financial Services Commission Act which established the BVI FSC as an autonomous regulatory authority?
The FSC Act fundamentally created the desired confidence in the FSC’s ability to function and take decisions independently as a financial services regulator without interference. This did not mean that the FSC did not previously operate in this regard independently, but this was not reflected in any particular legal instrument. The FSC is able to determine and operate on a Cabinet-approved budget which gives it great flexibility to channel resources to critical areas. These include regulation, supervision, compliance, international cooperation and modernisation of the Registry of Corporate Affairs, all with an automated system to facilitate company transactions. But perhaps the key benefit is the ability to take regulatory decisions, such as the approval of licences, much quicker compared to when those decisions had to be taken by the Executive Council, before the Cabinet system was established in 2007.
As someone who played a central role in drafting much of the financial services legislation, how did you ensure that the BVI BC Act remained flexible enough to adapt to evolving global standards while still maintaining the jurisdiction’s competitive edge?
Balancing compliance under current and evolving global standards and ensuring business flexibility is not always the easiest thing to do. In some instances, it can be a nightmare trying to achieve that balance.
Therefore, it takes teamwork to flesh out the issues and develop policies before getting to the drafting stage. I hold internal consultations with colleagues (from whom drafting instructions emanate sometimes) to discuss potential areas of difficulty, map out issues, and develop policies to put before the Company Law Review Advisory Committee (CLRAC1) to seek direction. We set out the options available and how best we can maintain both the flexibility of the BVIBCA and the Territory’s competitive edge. In many instances, those discussions lead to the agreed policies being publicly consulted on to garner opinions from practitioners in the financial services industry.
The interest of clients of our industry is always paramount. It is the combination of all these processes that enable the FSC
The interest of clients of our industry is always paramount.
to come to a decision on the appropriate way forward, which is the steer for drafting the necessary reforms to the BVIBCA. Consulting on the draft legislation provides another significant layer to the process whereby the results of the consultation feed into the final draft legislation.
Ultimately, it is our ability to adapt to current and emerging standards through forward-looking legislative reforms founded on consultation that enables us to maintain the required balance between compliance with international standards and maintaining a competitive edge.
In your view, how has the evolution of corporate governance requirements and compliance standards impacted the types of companies registered in the BVI?
Good corporate governance, compliance with established standards and international best practices, coupled with a stable political and judicial system, provide an environment to attract good investment. The ever changing of established standards, in some measure, can have an impact on business. Some evolving standards may be viewed as being unduly intrusive or increasing the cost of doing business. While some business may be lost in the process, those that stay adapt to new rules and obligations that make them strong and resilient; this leads to the growth of business.
How have you approached updating these standards to align with global expectations?
At the FSC, we engage in regular reviews of existing financial services legislation, which is one of the primary functions of the FSC, to ensure they align with emerging trends and practices. Where we see new opportunities and the need to develop appropriate legislation, we proceed accordingly. We have established liaison committees in each sector that we regulate or administer – banking, investment business, insurance, AML/ CFT, trusts, companies, trademarks, etc. – which assist the Commission in its efforts to keep financial services policies and legislation in sync with current and emerging standards relative to or affecting the conduct of financial services business.
Following your time as Attorney General, how has the legal education and training landscape in the BVI developed to ensure the availability of top-tier talent that
can continue to uphold and innovate within the financial services industry?
In the last 15 years, I have seen tremendous improvement in the efforts to train personnel within the financial services industry to develop their learning and understanding of the nature of financial services business. Private companies are increasingly providing funding to train their staff in various fields of financial services. The FSC has been instrumental in the establishment of the H. Lavity Stoutt Community College Financial Services Institute, now renamed the Dr. Robert Mathavious Financial Services Institute in honour of the great services Dr. Mathavious (former CEO and Managing Director of the BVIFSC) has rendered to financial services in the Virgin Islands, which now serves as a training hub for persons beyond the shores of the Virgin Islands.
What’s more, the FSC has also been engaging in the continual training of its staff to develop them into top-tier regulators, legal practitioners, accountants, AML/CFT experts, etc. These efforts are truly promising with regard to the continued viability of the financial services industry today and into the future.
What key innovations in financial services have taken place since the inception of the FSC?
Since its establishment in 2001, the FSC has been keeping updated with current and emerging developments within the local and global financial services ector. Perhaps the most crucial initiative undertaken has been the development of the VIRRGIN automated system to facilitate company transactions. This electronic platform is currently undergoing reform to provide better and enhanced service to companies and practitioners within the financial services industry. On the legislative front, we have witnessed the development and attractiveness of the investment business managers regime; This was following the enactment of the Virgin Islands Special Trust Act, Securities and Investment Business Act, a new Limited Partnership Act regime being introduced and the implementation of the Virtual Assets Service Providers Act.
What do you think are the biggest opportunities and challenges for the FSC looking ahead to the next 40 years?
Looking to the next 40 years, a key area the FSC would be looking at is the emerging developments in information technology, especially AI. Modern technology is forever evolving and, while it comes with its own risks, its value in facilitating modern day trade and commerce is beyond doubt. The FSC will continue monitoring this particular area to establish its strength and usefulness in driving financial services to maintain the Territory’s competitive edge.
In terms of the challenges ahead, these will likely relate more to the forever changing standards of regulation and fighting crime, especially in the area of money laundering, terrorist financing
and proliferation financing, which will require reforms. There is, of course, the added dimension relative to tax issues. The evolving standards, which are likely to affect financial services business, may require adjustments in existing regimes. But as always, the FSC will continue its monitoring process and aim to achieve the appropriate balance between compliance and doing business in and from within the BVI.
Robert Mathavious Institute (RMI). The H. Lavity Stoutt Community College Robert Mathavious Institute (RMI) in the British Virgin Islands is a center of excellence dedicated to nurturing future leaders in finance, business, and governance. Named in honor of Robert Mathavious, a pioneer in BVI’s financial services, RMI offers advanced educational programs and practical training designed to empower individuals with the skills and knowledge essential for driving growth and innovation in the global financial landscape. Courses such as ACCA (Association of Chartered Certified Accountants), International Compliance Association (ICA) programs, Corporate Governance, the Fintech Training Programme, and other professional development opportunities ensure that students are equipped to meet industry standards and excel in their careers. Through its commitment to academic excellence and industry collaboration, RMI supports the continued development of BVI as a leading financial services jurisdiction.
Cherno Jallow, KC
Director, Policy Development and External Relations, BVI Financial Services Commission
Cherno S. Jallow, KC is the Director of Policy Development and External Relations at the BVI Financial Services Commission (“the Commission”). Prior to taking up appointment with the Commission, he served as Attorney General of the British Virgin Islands (BVI) from 1999 to 2007 and was appointed in 2007 by Royal Patent as one of Her Majesty’s Queen’s Counsel (now King’s Counsel). Representing the BVI, he served as Chairman of the Caribbean Financial Action Task Force for the period 2012-2013. He is currently the Deputy Chairman of the Board of the BVI International Arbitration Centre. He also serves as a member and/or resource person of numerous liaison committees and groups on financial services matters. Mr. Jallow, KC leads the development and drafting of BVI financial services legislation, which he has been doing for nearly thirty years. He currently sits on the bench of the Judiciary of The Gambia as a Justice of the Supreme Court (a Sessional Court).
ver the last 40 years, the British Virgin Islands (BVI) has established itself as a premier jurisdiction for company incorporation, with more than one million companies registered from around the globe. Today, the Registry of Corporate Affairs boasts over 350,000 active companies, reflecting the country’s robust appeal to international business. Myrna Herbert has been the Registrar of Companies for the past 26 years and has witnessed the registry’s evolution.
What have been the key achievements of the Registry of Corporate Affairs since its establishment?
Since its inception, the Registry of Corporate Affairs has made significant strides in enhancing our services and improving operational efficiency. One of our most notable achievements has been the implementation of the VIRRGIN electronic filing system. This innovative platform has revolutionised how businesses interact with the registry, making the filing process more streamlined and accessible.
In addition to VIRRGIN, we have successfully digitised over 75% of our pre-VIRRGIN legacy files. This major undertaking not only preserves vital historical records but also facilitates easier access for stakeholders and the public.
Furthermore, we have diligently administered key legislative frameworks, including the BVI Business Companies Act (Revised Edition 2020) and the Limited Partnership Act (Revised Edition 2020). These acts are crucial in providing a robust regulatory environment that supports business growth in the BVI. We also oversaw the implementation of the Trade Marks Act of 2013, which continues to play a crucial role in protecting intellectual property and fostering innovation within the region.
Together, these achievements reflect our dedication to enhancing the business environment in the British Virgin Islands and supporting our stakeholders in their endeavors.
What are some benefits of having the BVI Business Companies Act and how has the Registry of Corporate Affairs effectively administered it?
The BVI Business Companies Act is the statutory foundation for our BVI business companies. When this act came into force in 2004, it not only modernised company registration requirements in the BVI but it also permitted a flexible list of corporate vehicles which could fall within the business company framework. This ultimately resulted in an increased number of new incorporations in the first years after promulgation of the Act.
The Registry maintains the substantial portfolio of BVI business companies; its principal role is to accept verified information related to BVI business companies, through filings, and to make the information available for public inspection. These filings as well as the accessing of information are mostly conducted by service providers like corporate lawyers, corporate
administrators, accountants. The reliance and burden placed on the Registry is to ensure the integrity of the information available for public inspection is a real one, and our day-today operations reflect how seriously we take this administrative task.
How has the Registry of Corporate Affairs ensured that entities doing business in, and from, the Territory are duly registered and that the Register of Companies is properly maintained?
Company filings are handled through our electronic filing system, VIRRGIN, which enhances efficiency and accuracy in our processes. The system enables the automatic approval of company names without requiring manual intervention from Registry staff, reducing the likelihood of errors. Additionally, new registrations and post-incorporation filings are submitted, reviewed, and filed electronically, allowing us to maintain our registers with greater precision and reliability.
What have been the key achievements and challenges of the Intellectual Property Unit within the Registry of Corporate Affairs administering all laws relating to intellectual property in the BVI?
The Intellectual Property Unit has made significant strides in enhancing the administration of intellectual property in the BVI. Since the introduction of the Trade Marks Act 2013, we’ve seen a marked increase in trade mark filings, reflecting the Act’s positive impact on intellectual property protections. A key achievement has been the digitisation of
95% of trade mark and patent records, which has streamlined our processes considerably. We have also completed a comprehensive reclassification of existing trademarks under the new Act and have streamlined the Trade Marks Register to make it more user-friendly and efficient.
Moving from physical document submissions to electronic ones has been transformative, as has the creation of a temporary online data storage system to securely manage trade mark and patent information. However, our primary challenge has been the previous reliance on physical files for processing daily transactions, which often led to delays. Although we have now transitioned to electronic storage, maintaining updated records still requires manual updates, posing an ongoing challenge to the system’s efficiency.
How has the Intellectual Property Unit ensured compliance with the Trade Marks Act, the registration of UK Trade Marks Act and the registration of UK Patents Act?
The Unit ensured compliance through the licensing of Trade Mark agents as required by the Act, storage and digitisation of files to improve access and efficiency, and weekly staff training and reviews. With regard to the UK Trade Marks Act, and UK Patents Act, since the BVI’s Trade Marks Act came into force, we no longer observe the old dual filing system; rather, where a person seeks to locally protect a mark or patent which they have already in the UK, this can be achieved by registering the respective mark under the local Act with the assistance of a Trade Mark Agent.
What have been the biggest regulatory developments since the Registry of Corporate Affairs was formed and what do you expect to see for upcoming developments that could allow you to strengthen the scope of services provided by the British Virgin Islands?
In my view, the most significant regulatory development was the transition from the International Business Companies Act (Cap 291) and the Companies Act (Cap 285) to the
BVI Business Companies Act, 2004. This provided for the re-registration of the International Business Companies Act (IBCs) and Local Companies into the new regime.
The BVI Business Companies Act came into force in 1st January 2005. IBC’s were transitioned either voluntarily or automatically by 1st January 2007 and local companies by 1st January 2009. Although some elements of the IBC Act and Companies Act were brought over to the BVI Business Companies Act through the transitional provisions, it is important to note that the old Acts were amalgamated into the BVI Business Companies Act causing it to become the sole corporate statute for the regulation of BVI business companies.
Over the past 40 years, how have the types of companies registered in the Territory changed?
Over the last four decades, the types of companies registered in the BVI have expanded to meet the diverse needs of the global business community.
The BVI Business Companies Act accommodates several company types, each tailored to specific corporate purposes and structures. These include companies limited by shares, which remain a common choice, and companies limited by guarantee, with options both to issue shares and not to issue shares, catering to varied corporate goals. Additionally, there are unlimited companies with and without share issuance authority, as well as purpose-specific companies, such as resulted purposes companies, designed for specialised functions. Segregated Portfolio Companies offer another unique structure, allowing for asset and liability separation within one entity.
This range underscores the BVI’s adaptability in serving a global clientele with increasingly complex corporate needs.
How do you see the role of the Registry evolving over the next 40 years as BVI continues to develop its financial services sector?
Over the past few years, the role of the Corporate Registry has been mainly to register and maintain registration
records, while tasks related to regulation were squarely placed within the remit of our regulatory divisions. The former is somewhat changing in that there is a new requirement for the beneficial ownership information to be filed with the Registry as well as the administration of the penalties regime. This new prescription implies that the Registry will have trusteeship of some regulatory and supervisory functions beginning in the near future.
In terms of continued evolution, while I cannot say with preciseness what the future will hold, I believe that changes are likely to be fueled by industry and business advancements, product diversification, digitisation, and our efforts to keep pace with international regulatory requirements.
Myrna Herbert Registrar of Corporate Affairs, BVI FSC
Mrs. Myrna P Herbert, is a highly respected Virgin Islands financial services expert. She was appointed as the Registrar of Corporate Affairs at the BVI Financial Services Commission (the Commission), in 1998. In her role as Registrar of Corporate Affairs, Mrs. Herbert played an integral role in both the evolution and daily interpretative work associated with administering financial services legislation, particularly the BVI Business Companies Act, 2004 (the “BC Act”). In ensuring that company registration and post incorporation matters in the Virgin Islands remain at the cutting edge of technology, she has played a crucial role in curating and managing the Commission’s bespoke innovative software platform –VIRRGIN.
Mrs. Herbert has over 30 years of financial services experience, and is responsible for managing a large team of officers who provide the vitally important service of establishing and maintaining registers affiliated with the BC Act, Trade Marks Act, and Limited Partnership Act.
As Registrar of Corporate Affairs Mrs. Herbert takes part in the Commission’s sensitisation campaigns particularly related to amendments with respect to the BVI Business Companies Act and Regulations.
By ERROL GEORGE
The 40-year anniversary of the BVI Business Companies Act is an important legislative milestone for both the BVI and its financial services sector. Not only did it usher in a wave of innovation, it was a catalyst for establishing a whole new financial ecosystem in the BVI. And for the last twenty years, since its foundation, the Financial Investigation Agency (FIA) has played a critical role in this ecosystem, safeguarding our financial services sector - a cornerstone of the Territory’s economy.
Over the years, to match the expansion and evolution of the financial services sector that have followed the IBC Act, the Agency has seen tremendous growth and change - both from a human as well as technological perspective.
The FIA grew from a team of three when it first started to its current complement of 32, and this is set to increase further next year given the increase in demands on the Agency’s resources. We’ve also witnessed the core functions of the FIA evolve. For example, when the FIA came about it 2004, no one had in mind that it would be given a supervisory mandate to supervise Designated Non-Financial Business and Non-Profit Organisations sector. Neither did anyone envision fintech becoming so imbedded in the local financial services sector; we now have several BVIBCs being associated with various virtual assets trading platforms providing virtual assets related services to millions across the entire globe. This evolution has result in the FIA having to invest heavily in staff training and development, as well as investing in sophisticated investigative tools to enable it to do its work.
We have also seen the development and evolution of legislation to strengthen the Agency’s role.
For example, in 2021, Financial Investigation Agency Act – the principal legislation which guides the Agency’s operations - was amended to give the FIA supervisory powers over Designated Non-Financial Businesses and Professions (DNFBPs) for antimoney laundering, counter the financing of terrorism (CFT) and proliferation financing (PF). The amendment also empowered the FIA to impose administrative fines for regulatory breaches. Following this, the Agency has significantly increased the volume of fines imposed over the last two years against regulated entities for their failure to response to our requests for information within the statutory timeframe. Our preference has and will always be for regulated and supervised entities to comply with the laws but the FIA will continue to take the steps to ensure regulated and supervised entities fulfil their AML/CFT/PF obligations.
Steps have also been taken to strengthen the Agency’s collaboration with the FSC resulting in several initiatives being undertaken jointly, all of which had national implications. For example, the 2020 Territory Financing Risk Assessment, the 2022 Money Laundering Risk Assessment and 2022 Proliferation Financing Risk Assessment. All of these assessments would have highlighted the risks posed to the local financial services sector by legal persons and arrangements, including BVIBCs.
Over the last 20 years, the FIA has played an increasingly important role in the global financial system too. We both contribute to combating financial crime, and ensure we are adhering to global standards.
One of the FIA’s main functions is to assist foreign law enforcement agencies through enforcement of international cooperation frameworks such as the Egmont Group of Financial International Units. Frameworks such as this allows the FIA to exchange vital information, including beneficial ownership and other similar types of information involving corporate structures. This happens in instances where such matters are brought to the FIA’s attention through suspicious activity reports or other avenues. Through a series of agreements, we have also strengthened our collaboration and reciprocal information sharing with domestic as well as international agencies to counter financial crime.
Our workload has rapidly grown as a result. To give an example, back in 2003 the Agency dealt with very few requests for information on BVIBCs. Now we easily average over 300 requests for information on BVIBCs annually.
We are constantly reviewing and upgrading our standard operating procedures to ensure our international cooperation framework is in line with global standards.. The work of organisations, such as CFATF, is extremely important since it feeds into the FIA’s internal processes and procedures to ensure compliance with global AML/ CFT standards.
As we look ahead, the FIA will continue to evolve as it has for the last two decades. This is the only way it will be able to achieve and maintain effectiveness. Just as the type and scope of financial crime will continue to evolve over the coming decades, so will the global AML/CFT/PF standards.
Technology is clearly a driver of change too. Using virtual assets businesses as an example, the FIA invested heavily over the years in investigative tools to assist in analysing complex data relative to virtual assets suspicious activity reports. Hence, it was and still is necessary for the FIA to have the right technology or innovative products at its disposal to deal with these very complex matters. As things change, the FIA will need to continue to adapt by incorporating the use of innovative products into its day-to-day operations. For example, we are now exploring ways to automate some of our analysis functions by using AI which could have tremendous benefits for the Agency such as increased efficiency and improved productivity.
Errol George Director, BVI Financial Investigation Agency
Mr. George has served as Director of the Financial Investigation Agency (FIA) since 2009, shaping financial investigation policies and strategies. His law enforcement career with the Royal Virgin Islands Police Force, from 1993 to 2019, focused on financial crime. He holds a Bachelor of Law from the University of East London and a Postgraduate Certificate in Criminal Justice. He also contributes to Anti-Money Laundering (AML) and Counter-Terrorism Financing (CFT) committees and sits on the Virgin Islands International Tax Authority board.”
By SHAN GREER
Standing as a testament to the region’s commitment to creating a world-class framework for dispute resolution, the BVI International Arbitration Centre (IAC) has played a pivotal role in cementing the BVI’s reputation as a leading business and financial centre in the last 10 years. As a trusted forum for dispute resolution, it enhances the jurisdiction’s reputation as a secure place for international business. By offering a range of effective options, the Centre supports investor confidence and ensures businesses can resolve conflicts efficiently without relying on foreign courts.
Of the companies the BVI IBC attracted, many prefer arbitration as a way to resolve disputes. The Act’s strong legal framework complements our services, offering companies a reliable, efficient, and neutral forum for resolving commercial and cross-border disputes.
With a record of excellence, it is an apt time to reflect on the IAC’s achievements and our position today as a key pillar in the BVI’s financial services industry.
The IAC’s journey to our market-leading status, particularly in the Caribbean and Latin America, is marked by significant milestones.
Internationalism has been key to our success. Our Arbitration Committee, made up of representatives from five different regions of the globe: the Caribbean, Americas, Europe, Africa and Middle East and Asia, ensures that operations adhere to the highest international standards. The Committee’s composition enriches the IAC with a variety of perspectives and practices, enhancing its ability to handle a wide range of cases. The benefits are twofold as this global representation also strengthens the BVI’s reputation as an international arbitration hub while maintaining a strong Caribbean focus.
The panel has repeatedly demonstrated confidence in the IAC’s ability to handle complex cross-border disputes and managed cases spanning a range of industries, including construction, finance and infrastructure, across a multitude of regions. The IAC has the versatility and capacity required
to set itself apart from many jurisdictions offering similar judicial services.
What’s more, the IAC has set itself apart through an unwavering focus on user experience, flexibility and leveraging our strategic location in the Caribbean. The arbitration procedures are tailored to meet the specific needs of each dispute, providing a cost-effective and efficient resolution process.
Best-in-class service is a cornerstone of the IAC’s ethos. The Centre emphasises providing a seamless and responsive experience for all parties involved in a dispute.
Technology has played a critical role in this. In response to the rapidly evolving dispute resolution needs of arbitration users worldwide, the IAC embraced technical innovation. For example, we now offer virtual hearings and provide expedited procedures for disputes which are simpler in nature. We also implemented a digital case management system to handle evidence and manage cases more effectively, ensuring smoother proceedings and greater convenience.
However, technology is not used for the sake of innovation. We are proactive in gathering feedback from users to improve our services. We are client-led, all while being agile in our response to global trends in arbitration, such as the incorporation of mediation and hybrid models. With all our innovations, the goal is to make dispute resolution more accessible, efficient and user-friendly.
The IAC and the broader BVI financial services industry perfectly complement one another. Our importance to it cannot be overstated. As a trusted forum for dispute resolution, we enhance the BVI’s allure as a secure and stable place for international business. The availability of effective dispute resolution options is crucial in supporting investor confidence and ensuring that businesses can resolve conflicts efficiently, without the need to resort to foreign courts.
The BVI’s core principals of independence and collaboration also help inform our work at the IAC. We keep our commitment to maintain impartiality in every arbitration case as well as working closely with various entities within the BVI, including law firms, government bodies and industry associations, to promote arbitration as a key dispute resolution tool. The IAC also collaborates with other arbitration institutions worldwide through cooperative agreements, allowing for the sharing of resources and marketing opportunities.
Looking to the future, the IAC is poised to further solidify its position as a leading international arbitration centre through adapting to the needs of an increasingly complex global economy. As the financial services industry evolves, the IAC will continue to offer specialised arbitration services, particularly in areas like fintech, cryptocurrency and sustainable development. The IAC’s investment in technology and innovation will ensure that it remains at the forefront of dispute resolution while maintaining the core values of independence, neutrality and service excellence.
1. Delay and Disruption Claims: Relating to large-scale projects, where contractors claim additional costs due to unforeseen site conditions, supply chain disruptions, or project owner changes. The disputes might involve expert determinations of the schedule impacts and cost implications, with both parties presenting extensive documentary and expert evidence.
2. Contractual Interpretation and Payment Disputes: Typically over the interpretation of complex clauses in construction contracts, such as variations or extensions, and payments due for work performed under interim payment certificates. These disputes may also touch on liquidated damages clauses if the project was not completed on time.
Fintech Disputes:
3. Cryptocurrency Exchange Disputes: These typically involve claims against exchanges for losses due to hacks, breaches of contract, or failure to execute trades. Investors or users may allege mismanagement or negligence on the part of the exchange in maintaining security standards, leading to financial loss.
4. Token Issuance Disputes: Disputes frequently occur between investors and issuers of Initial Coin Offerings or Initial DEX Offerings. Claims can relate to misrepresentation of the value or potential of the token, failure to deliver promised features, or allegations of fraud.
Shan Greer Chief Executive Officer, BVI International Arbitration Centre
Ms. Greer is the CEO of the BVI International Arbitration Centre, a seasoned dispute resolution neutral, and a member of Arbitra International. With extensive experience in arbitration and legal advocacy, she frequently speaks at international conferences and advises on arbitration in global contracts. Shan is known for her leadership in expanding the BVI IAC’s services and her expertise in Caribbean infrastructure and trust disputes, as well as her practical insights into arbitration trends.
BVI Finance caught up with Carson Wen, Founder and Chairman of Bank of Asia (BVI), BOA Financial Group and Sancus Group, Kristian Wilson, Partner at Bedell Cristin, and Michael Gagie, Regional Managing Partner – Asia, at The Maples Group to discuss the growth of the Asian economy, benefits to investors of utilizing BVI structures, the evolving regulatory landscape and the opportunities looking forward.
Asia has been a key driver of global growth for many years. How do you see this trend evolving in the next decade, particularly in the context of cross-border investment?
Carson Wen: Asia, with China still targeting a 5% growth in GDP per annum and many Southeast Asian economies reaching middle-income country levels, will continue to be a key driver of global growth. Looking forward, I see the world divided into two main blocs: the West, comprising about 12% of the global population, and the Global South, led by Brazil, Russia, India, China, and South Africa (BRICS), which represent 88%. The role of the US dollar as the global currency of exchange will continue to decline, with the RMB or a BRICS currency, in both physical and digital forms, taking up a larger share of global trade settlements, investments, and reserve currencies. I anticipate that a turning point will come around 2030, perhaps even earlier.
Michael Gagie: To add, there are a number of challenges affecting the growth potential of the global economy at the moment, and Asia is not immune to that. The BVI, along with several other financial centres, typically sees increased business when the global economy is buoyant and crossborder transactional activity is high. At a macro level, across Asia, there continue to be huge opportunities for businesses in multiple sectors of the regional economy to develop and grow. Many of those businesses will require the injection of capital and resource to support that growth and the BVI remains wellplaced in its role as a conduit for investment – whether in a corporate or a fund structure – to continue to form a part of that growth story.
What makes the BVI attractive as a leading international business centre? What benefits does it bring to Asia’s economy?
Carson Wen: The BVI has become a well-established hub for structuring offshore investments, especially in bridging the gap between Chinese or Asian companies and their investee entities abroad. This familiarity with BVI structures is unlikely to fade as long as cross-border investments persist, and the Know Your Customer (KYC) requirements for setting up and maintaining BVI companies don’t become more stringent than those for onshore jurisdictions.
BVI law often governs relationships between shareholders in different countries, with joint ventures structured at the BVI level. This system has stood the test of time, enduring various economic cycles and shifts between Western and Asian economies. The common law, despite some criticisms, particularly over the influence of British judges, remains the legal framework of choice for financial centres around the world, including London, New York, Hong Kong, and Singapore. This legal consistency is one of the reasons the BVI has maintained its attractiveness to international business.
Kristian Wilson: At present, the BVI’s products are best suited to a range of specific context-driven needs. For instance, the
permissive corporate legislation makes BVI companies useful as shareholding vehicles, the commercial regulation makes BVI Incubator and Approved funds popular with venture capital and start-up hedge funds, and approved managers are increasingly preferred by the market.
How significant is Asia’s role in the BVI’s financial services sector, and what trends do you observe in terms of inbound and outbound investments through BVI structures?
Carson Wen: Approximately 44% of BVI companies are owned by Chinese ultimate beneficial owners (UBOs), and the rest of Asia likely accounts for another 10-15%. This makes Asia the dominant market for BVI offshore entities.
Michael Gagie: From a law firm standpoint, all of the larger, multi-jurisdictional firms with a BVI offering have a physical presence in Asia. If you couple that with the significant number of registered agents and other intermediaries present in the region and who have clients in Asia with a BVI component to their business, you start to get a sense as to how important Asia is to the continued growth and success of the BVI’s financial services industry.
Historically, the BVI’s growth in Asia was largely off the back of clients outside of Asia, investing into Asia, via BVI vehicles –what we would term as “inbound” investment. Today, there is as much use of BVI by Asian investors in pursuit of “outbound” investment as there is both foreign and regional investment across the Asia region. The real estate, retail, medical, pharma and tech sectors all continue to feature in the transactions that we support our clients on. In addition, clean energy and digital asset matters along with a myriad of private equity and family office related deals, keep our lawyers – and those of our competitors – busy across the region. One of the key trends we have witnessed, both for inbound and outbound investment activity, is the utilization by investors and entrepreneurs of structures and tax planning in each of Hong Kong and Singapore – what some term as “mid-shore” jurisdictions. In many of those transactions, the BVI component of the structure is complementary to some of the “localized” advantages that the mid-shore jurisdictions provide.
What are the key benefits that Asian investors and companies gain from using BVI structures compared to other international financial centres?
Kristian Wilson: The BVI offers the rule of law, such that there is a stable, understandable, predictable and well-founded basis to making legal and commercial decisions. In some jurisdictions, a lot of financial legislation is new, such that there may be uncertainty in using such products. Furthermore, in Southeast Asia (SEA), there are a variety of different laws, both civil and common law, with many different restrictions, obligations and regulations. The BVI offers a simple and understandable product which provides simplicity in a complex region.
Carson Wen: Familiarity is a major advantage, along with the high-quality regulatory environment in the BVI and a strong reputation. The presence of leading offshore law firms in major global commercial centres makes it convenient for Asian investors to use BVI structures.
Michael Gagie: The longstanding use of, and familiarity with the BVI across Asia can’t be underestimated in terms of the jurisdiction’s continued popularity and standing vis-à-vis its competitors. The flexibility of the BVI Business Companies Act –the way in which the Act allows companies to utilize subscription or investment monies provided to them and the ability to return profits to shareholders; the governance protections afforded to shareholders and other stakeholders under the Act and (ultimately) the recourse they have to the courts; the ability to migrate entities into and out of the jurisdiction – these are just some of the practical, legal advantages that the BVI and its corporate legislation can offer to Asian investors.
How do you view the evolving regulatory landscape in Asia and globally, and how is the BVI positioning itself to remain competitive and relevant in this environment?
Michael Gagie: The BVI has always sought to keep in step with regulatory and supra-national efforts to supervise and to regulate international capital markets and cross-border financial activity and so it is well-placed to remain competitive. Further enhancements in the jurisdiction to the regulation of service providers offering BVI related services to third parties, as well as legislative changes to evolve the framework under which the activities of BVI entities take place, are all leading to increased information flows and transparency, which can only be good for business.
Kristian Wilson: As with most jurisdictions, regulation is becoming increasingly complex. Many Asian jurisdictions have put in place laws relating to anti-money laundering (AML), economic substance and virtual asset legislation. As the BVI put similar laws in place in advance, it has a first mover advantage in that consumers are used to such laws and understand them. However, with ongoing regulatory requirements, it is important that regulations are put in place with market input rather than reactively to ensure there is close commercial analysis before implementation.
What role do organisations like yours play in supporting Asian investors and businesses looking to utilise BVI structures for international growth?
Carson Wen: Asian investors and businesses require access to professional services, including corporate service providers (CSPs), legal support, and banking services. Unfortunately, many banks around the world remain reluctant to deal with offshore companies. Bank of Asia was established specifically to address this need, providing banking services to the BVI and other offshore entities whose UBOs hail from 90 different countries.
...we are effectively the sales force on the ground as our livelihood is tied to the jurisdiction and we have practical, social and personal ties to the jurisdiction from living there and working with the community.
Michael Gagie: As BVI Finance is aware, the Maples Group takes its role as a stakeholder in BVI financial services very seriously and we are regular contributors to all industry bodies on-island and overseas that support the development and promotion of the jurisdiction. Across our global network, we have lawyers working on client-facing matters that involve BVI entities and BVI law. This provides us with the opportunity not only to demonstrate to clients our skills and abilities as a leading international law firm but also to showcase the workings of, and advantages to, using BVI entities in their business. The physical presence in Asia of leading players from the BVI financial services industry has been key to the jurisdiction’s success in the region and will continue to play an important part in the ongoing development of the jurisdiction’s offering.
Kristian Wilson: My personal view is that BVI professionals in the financial services industry are essential to ensuring the growth in usage of BVI products. For those professionals truly invested in the jurisdiction, we are effectively the sales force on the ground as our livelihood is tied to the jurisdiction and we have practical, social and personal ties to the jurisdiction from living there and working with the community.
With Asia providing such a substantial client base for the BVI financial services industry, what sectors or industries are currently showing the most interest in BVI structures, and why?
Kristian Wilson: It is always difficult to state which area of the economy is popular, as the Asian economies frequently evolve and change. That stated, we see increased interest from family offices and mid-market funds for BVI solutions in the funds and holding company space. We also see interest in the startup space for BVI companies, particularly with future listings in mind.
Carson Wen: BVI structures are particularly well-suited for outbound investments, and this will remain true in the next wave of globalisation, which will be led by Chinese outbound investment. Initiatives like China’s Belt and Road, along with the need to relocate manufacturing for major Chinese brands like Huawei and Xiaomi, will keep BVI structures in demand.
Michael Gagie: One of the great advantages that the BVI has in terms of its client base in Asia, is its diversity. From a private practice perspective, we see, and advise on, the use of BVI entities across all sectors of the Asian economy. In recent years, as in other parts of the world, there has been increasing interest
in the tech, pharma and medical sectors, along with clean and renewable energy.
Looking ahead, what emerging trends or opportunities do you foresee in Asia’s financial services sector, and how do you see the BVI’s role evolving as part of these developments?
Kristian Wilson: Asia is increasingly sophisticated and competitive market. Some jurisdictions, such as Singapore, Dubai, and potentially Saudi Arabia, are putting in place permissive legislation designed to capture an array of businesses in growing parts of the economy (including the digital sector). Such jurisdictions have added support in that they are larger economies, with active markets, international connectivity (flights, data) and privy to tax treaties, among other matters.
The BVI became the jurisdiction of choice as a result of its cutting-edge commercial legislation. This legislation (the IBC Act) was drafted in the early 80s with the assistance of US counsel. It was a forward-thinking, novel and market driven statute that ensured the success of the BVI in the corporate and commercial space. In order to compete effectively in the present day, the BVI needs to understand what its competitive advantages are, where market demand is, where the economy is going, and take a commercial look at its legislation.
Michael Gagie: The increasing use of technology to deliver services to individuals is likely to continue to evolve across the region – in very large countries with large populations, the ability of businesses to transact with clients remotely is critical. Across the PRC, Indonesia and Vietnam, we continue to see businesses looking to utilise smartphone-based apps to offer services and goods to end users in those countries. Regional and international investors, whether individually as shareholders of publicly listed companies or collectively via investment vehicles, continue to invest in businesses across the financial services, retail, energy, and healthcare sectors. We expect that utilisation of BVI entities in those investment structures will continue. Digital asset related activity continues to increase, with more institutional players, including banks, being active in that space. The BVI’s VASP regime has been a talking point with many clients, and we anticipate further interest in this sector. Finally, generational wealth transition across the region and the consequences of that in the context of existing BVI ownership structures, should see an increase in family wealth related discussions of the jurisdiction and succession planning advice for professional service firms and intermediaries.
Carson Wen: For me, the most significant opportunity for the BVI is to become a global hub for digital assets. The sector is already worth over US$2 trillion, and many jurisdictions, such as China, have yet to fully support it. The 80 plus applications for the BVI’s VASP licence are evidence of the sector’s interest in the BVI. However, to fully capitalise on this, the BVI needs to adapt its KYC requirements and raise awareness of its potential in the digital assets space, particularly in key Chinese cities like Shenzhen, Beijing, Shanghai, and Hangzhou.
Carson Wen BBS, JP Founder and Chairman, Bank of Asia (BVI), BOA Financial Group and Sancus Group
Carson Wen is the Founder of Bank of Asia (BVI) Limited and BOA International Financial Group Limited. With over 30 years of legal experience, including as a partner at global firms, he retired from Jones Day in 2016. He played a pioneering role in PRC-controlled company listings, “roundtrip investment” and “VIE” structures, and complex mergers and acquisitions.
Mr. Wen served three terms as a Deputy to China’s National People’s Congress representing Hong Kong and is a Justice of the Peace. He has held key public service roles, including Vice-Chairman and Party Affairs Advisor of Hong Kong’s largest political party, DAB.
He is a member of the Executive Council of UNESCAP’s Sustainable Business Network, a former Chairman of its Task Force on Green Business, and Founding Director of the China M&A Association.
Awarded the Bronze Bauhinia Star by the Hong Kong government for fostering economic ties, Mr. Wen holds degrees from Columbia University and Balliol College, Oxford. He is an Independent Non-Executive Director of NYSE-listed Phoenix New Media, HKSE-listed Winox Holdings, and Supervisor of HKSE-listed PICC.
Kristian Wilson Partner, Bedell Cristin
Mr. Wilson is a seasoned BVI veteran, advising on all aspects of corporate law and financial regulation, with an emphasis on M&A, investment funds and regulation.
He has a deep understanding of the Asian markets, having operated in Singapore for over ten years, studied Chinese in Beijing, with post-graduate qualifications in Asian politics, and having being published in a leading Chinese academic journal in relation to BVI legal matters.
Michael Gagie
Regional Managing Partner – Asia, The Maples Group
Mr. Gagie is the Regional Managing Partner, Asia and Head of the Singapore office at Maples and Calder, the Maples Group’s law firm. He is also Global Head of the British Virgin Islands practice. His experience and areas of practice cover corporate, downstream private equity work, banking and structured finance. Michael has been ranked as a leader in his field in Chambers Global, IFLR1000 and Who’s Who Legal.
By LA TOYA JAMES
The British Virgin Islands (BVI) has long upheld a commitment to transparency, regulatory integrity, and international cooperation, positioning itself as a trusted international financial centre. A cornerstone of these efforts is the International Tax Authority (ITA), which ensures that the BVI meets and exceeds global standards for tax compliance, bolstered by a network of over 100 international exchange agreements and a solid track record of information sharing with jurisdictions worldwide.
The ITA was established to oversee the BVI’s tax-related legislation and coordinate international tax compliance. Central to its mission is maintaining transparency by adhering to global standards, including the OECD’s Common Reporting Standard (CRS), the U.S. Foreign Account Tax Compliance Act (FATCA), and the Base Erosion and Profit Shifting (BEPS) framework. These initiatives are designed to counter tax evasion, promote transparency, and ensure that BVI entities maintain compliance with international tax standards.
Beyond overseeing compliance, the ITA also administers the Economic Substance (ES) regime, which mandates that entities conducting relevant activities demonstrate substantive presence in the BVI. This regime aligns with international efforts to prevent profit-shifting and ensure a genuine operational footprint within jurisdictions. By enforcing economic substance, the ITA ensures that BVI-based businesses operate with transparency and substance, strengthening the jurisdiction’s commitment to regulatory best practices.
The ITA’s cooperation with international counterparts is facilitated through a web of more than 100 agreements, encompassing both bilateral Tax Information Exchange Agreements (TIEAs) and the Multilateral Convention on Mutual Administrative Assistance in Tax Matters (MAAC). These agreements enable the BVI to share information with jurisdictions worldwide, supporting investigations and fostering collaboration on tax compliance. These relationships underscore the BVI’s dedication to transparency and cooperation on global tax matters. Each agreement allows the ITA to exchange information on request, spontaneously and automatically, enabling international tax authorities to investigate and enforce tax compliance effectively. By actively participating in these exchange networks, the ITA reaffirms the BVI’s role as a reliable partner in the global financial community.
The ITA has also demonstrated consistent responsiveness, processing numerous information requests from tax authorities globally. These requests are managed with rigorous adherence to confidentiality and legal standards, ensuring that each exchange is compliant and aligned with both domestic and international obligations. The ITA’s ability to handle this volume of requests speaks to the BVI’s robust infrastructure for information sharing and its dedication to supporting global tax enforcement.
In addition to international cooperation, the ITA is dedicated to supporting the BVI’s financial institutions and businesses through education and guidance. By hosting seminars, publishing guidance notes, and offering resources online, the ITA keeps the local business community well-informed of regulatory changes, international standards, and compliance obligations. This proactive approach not only supports BVI-based businesses in meeting their legal requirements but also reinforces the BVI’s reputation as a transparent and reliable jurisdiction.
As the global tax and regulatory landscape evolves, the ITA stands ready to adapt, ensuring that the jurisdiction remains a leader in tax transparency and regulatory compliance. The ITA’s efforts to foster international cooperation, enforce economic substance, and provide regulatory guidance help solidify the BVI’s reputation as a trusted, forward-thinking financial centre committed to upholding the highest standards of tax transparency.
In an era where regulatory scrutiny continues to intensify, the ITA’s actions reflect the BVI’s dedication to maintaining its status as a globally respected and cooperative jurisdiction, setting a high standard for transparency and compliance in international finance.
La Toya James Director, International Tax Authority
Ms .James is the Director of the International Tax Authority (“ITA”) and has been since 2015. Ms. James has a wealth of knowledge and experience in law and matters relating to international obligations of the Virgin Islands concerning exchange of information. She holds a Bachelor of Laws (LL.B.) (Hons) Degree and a Post Graduate Diploma in Bar Practice. She also holds a Masters Degree in Advanced Legislative Studies from the University of London. After being called to the Bar in England and Wales, Ms. James joined the Attorney General’s Chambers as a Crown Counsel focusing in Legislative Drafting. She also took advantage of a secondment opportunity with the Organisation for Economic Co-operation and Development, where she worked as a Tax Policy Analyst in 2014.
As Managing Partner at O’Neal Webster, Vanessa King is a key figure in the BVI’s legal and financial services sector, and internationally respected legal expert in BVI trusts. Her journey, spanning over two decades, has coincided with the growth of the BVI as a destination for establishing trusts, and demonstrates her deep commitment to both the BVI’s evolving financial and legal landscape and the empowerment of women in the industry.
Speaking with Business Insight, she reflects on balancing professional demands with personal life, her passion for shaping the future of the jurisdiction, and how she continues to pave the way for the next generation of female leaders in professional services.
Vanessa’s journey in law and finance started over two decades ago when she joined O’Neal Webster fresh from law school. Since then, she has risen to become the firm’s Managing Partner, a role in which she is responsible for leading the practice in strategic vision, growth, and client satisfaction. Reflecting on those early days, she recalls being surrounded by experienced legal minds who allowed her to explore her interests. “I was fortunate to work at a firm that didn’t box me in,” she says. “There was room for me to get involved in everything from company formations to working with international bodies.”
Her practice now spans the world’s major financial centres, where she regularly works on the establishment and amendment of BVI trusts, as well as various forms of corporate finance.
In addition to her work at O’Neal Webster, Vanessa holds prominent positions within the financial services industry. She serves as the deputy chair of the BVI Financial Services Commission
Appeals Board, chairs the Caribbean and Latin America Region of the Society of Trust and Estate Practitioners (STEP) and sits on the STEP Caribbean Conference Steering Committee, and is a STEP Worldwide Council representative. STEP is a global professional body, comprising lawyers, accountants, financial advisors and other practitioners, founded to set and uphold standards, train and educate members, to enable families planning for their futures to do so in a safe, trustworthy environment. There are more than 22,000 STEP members worldwide.
Her involvement with STEP was a pivotal moment in her career. “Chris McKenzie, who is regarded as the godfather of the BVI trust sector, pushed me to get my STEP qualifications. From there, I started getting involved in executive committees both locally and regionally. It’s been an honour to represent the BVI on the global stage and raise issues that matter to our jurisdiction.”
Her involvement with the BVI’s legislative development has also allowed her to advocate for the jurisdiction on an international stage. “As we celebrate 40 years of the IBC Act this year, it’s important to recognise the collaborative effort between the government, regulators, and practitioners like myself to keep the BVI at the forefront of international finance.”
King emphasises the importance of continuous innovation and adaptation since the first IBC Act. “The world of financial services is constantly evolving, and the BVI has been successful because we’ve been able to keep pace with these changes. We’ve maintained strong regulatory standards while offering solutions that meet the needs of global businesses.”
Vanessa King speaks passionately about the evolution of the BVI’s trusts sector and the crucial role it plays in global financial markets. “What sets BVI apart is our ability to innovate,” she begins. One of the key examples she highlights is the creation of the VISTA Trust, which revolutionised the traditional trust model by giving clients, particularly business owners, greater control over their trust assets. “The VISTA Trust allows settlors to maintain control of the underlying business while enjoying the benefits of a trust structure,” King explains. “This was something that really resonated with business owners who didn’t want to relinquish control, and it’s been one of the ways we’ve tailored our offerings to meet the specific needs of international markets.”
She points out that the BVI’s approach, particularly in trust
products, has set a high standard, leading other jurisdictions to adopt similar structures. “We’ve seen other offshore jurisdictions follow our lead, but the difference is that we remain agile and responsive to client needs,” she says. King attributes this to the close relationship between the BVI government, the regulator, and STEP, which has created an environment of collaboration and trust. “Our ability to adapt quickly and introduce userfriendly, cost-effective solutions makes us a preferred choice for international clients.”
Ms King sees a positive outlook for the growth of the BVI’s trust sector as it meets the growing needs of international clients, in particular the increasing demand for intergenerational wealth transfer and succession planning. “Globally, there is a significant need for succession planning,” she notes. “Wealthy individuals and families, particularly in uncertain times, are looking for structures that offer both stability and flexibility.” She mentions
Our ability to adapt quickly and introduce user- friendly, cost-effective solutions makes us a preferred choice for international clients.
that this has accelerated since the pandemic, when there was a notable surge in interest in trust structures. “The pandemic really made people think about the future—about protecting their assets and ensuring smooth succession planning. We saw a real uptick in inquiries and new trust structures being set up during that time.”
Another key factor driving the success of the BVI’s trust sector is the jurisdiction’s regulatory framework. King emphasises that the BVI strikes the right balance between regulation and flexibility, offering clients both security and efficiency. “Our clients value the fact that we are a well-regulated jurisdiction,” she explains. “There is a comfort in knowing that there’s oversight, particularly over corporate trustees, which adds an additional layer of protection for the underlying assets.” At the same time, the BVI’s Commercial Court (Commercial Division of the Eastern Caribbean Supreme Court), which handles trust disputes, is highly regarded. “We have a top-notch commercial court with judges who understand the complexities of trust law, and that’s a huge benefit for clients.”
King’s perspective on the future of the BVI’s trust sector is optimistic. As global uncertainty continues, she believes that the demand for secure, confidential trust structures will only increase. “In times of uncertainty, people seek stability, and that’s what we offer here in the BVI,” she concludes.
While Vanessa King’s professional accomplishments are impressive, she is equally committed to her role as a mother. Balancing these two worlds, she admits, is no easy feat. “It’s a constant balancing act,” she shares. “When you’re passionate about your work, it can be hard to switch off. But I’ve learned that making time for yourself and your family is essential.”
King reflects on the early days of her career when the demands of work often spilled over into her personal life. “There were late nights at the office, missed family events, and weekends lost to work. But as I’ve progressed in my career, I’ve realised the importance of setting boundaries.” For her, that means carving out time for her son and family, which she sees as essential to maintaining her energy and focus at work. “Being a mother gives you perspective. It forces you to think about what’s really important, and that mindset definitely influences how I approach challenges in my career.”
King is also a firm believer in encouraging the next generation of professionals, especially women, to prioritise their well-being. “Success doesn’t mean you have to sacrifice everything. I tell young professionals that it’s important to achieve your goals but not at the expense of your personal life. Setting boundaries early on is crucial.”
In her downtime, King enjoys travelling, reading, and simply unwinding with loved ones. “It’s not all about work,” she says. “Taking time to recharge allows me to return to work with a fresh perspective. It’s something I encourage others to do as well.”
King’s legacy extends beyond her personal career; she is deeply invested in shaping the future of the BVI’s financial services sector, particularly by fostering opportunities for women. “There’s so much talent here,” she says. “I want to make sure that women in the BVI see that there’s a place for them at the top, whether in law, finance, or any other sector.”
Her work with various organisations, including her leadership role in industry associations, is aimed at creating more inclusive environments for women and local professionals. “It’s about making sure that everyone has a seat at the table. We’ve made progress, but there’s still a long way to go. I want to be a part of that change.”
Vanessa is also quick to acknowledge the gender gap that existed when she first entered the industry. “When I started, there weren’t many women in leadership roles within law or financial services. It was very much a male-dominated space.” Today, King advocates for greater diversity and actively supports the next generation of female leaders. “It’s important that young women see people like them in these positions. I’m passionate about mentoring and helping them navigate the challenges of balancing career aspirations with personal commitments.”
Looking to the future, King is optimistic about the BVI’s continued success as an international financial centre, and is committed to advocating for it, as well as the next generation of female leaders. “I want to continue being a voice for the BVI, ensuring that our interests are represented on the global stage. But equally, I want to be there for the next generation of women, helping them to see that they can do it all, without having to sacrifice their personal lives.”
Ms. King is the managing partner of O’Neal Webster and leads the firm’s strategic vision and growth. Her law practice covers corporate, banking and trust law where her clients include financial institutions, law firms, family offices, trust companies, and high-net-worth individuals. Vanessa has served on many local and international financial services related boards and committees and currently chairs the Caribbean and LatAm Region of STEP, and sits on the STEP Worldwide Council .
By PETER VAS
Blockchain technology and digital assets have evolved far beyond their original purpose as outlined in Satoshi Nakamoto’s 2008 whitepaper, which primarily envisioned a world without third-party payment intermediaries. Today, these technologies underpin a vast array of applications, spanning Web 3.0, decentralised finance, and the metaverse. Their rapid proliferation presents unprecedented opportunities to reshape financial services, though it also brings fresh challenges as policymakers and regulators struggle to keep pace.
The decentralised nature of digital assets and the complexities involved in governing them highlight the difficulties inherent in regulation. Recent high-profile industry collapses—such as those of FTX, Silvergate, Signature Bank, and Three Arrows—underscore the potential vulnerabilities in a landscape without a cohesive and risk-sensitive regulatory framework. Markets respond unevenly when confronted by these stresses, and fragmented approaches may either stifle innovation or fail to offer adequate protections.
In response, the British Virgin Islands (“BVI”) implemented the Virtual Assets Service Providers Act, 2022 (“VASP Act”) on 1 February 2023. Guided by the Financial Action Task Force’s recommendations, this legislation sets forth a clear framework for registering and supervising virtual asset service providers. Designating the Financial Services Commission as the lead regulator, the BVI emerges as an early mover among reputable offshore jurisdictions, providing greater assurance to investors, entrepreneurs, and innovators who seek a reliable, modern environment in which to operate.
Building on the VASP Act’s solid foundation, the BVI’s approach has been widely praised for striking a measured balance. It imposes sensible oversight to manage risks while maintaining the commercial flexibility needed to encourage growth and innovation. Rather than adopting a rigid “one size fits all” model or relying on heavy-handed enforcement, the BVI has embraced a risk-based stance. Coupled with the jurisdiction’s traditional strengths—tax neutrality, confidentiality, and a stable legal system grounded in English common law—this pragmatic framework has positioned the BVI as a premier destination for blockchain businesses. The strong demand speaks for itself: more than sixty applications are currently pending for registration under the VASP Act, underscoring the market’s confidence in the regime. At a time when reputable players increasingly expect regulatory clarity, the BVI’s proactive policies have created a fertile ecosystem for responsible digital asset development.
Under the VASP Act, six broad categories of “virtual assets services” are regulated, including exchanges, transfers, custodial activities, and certain financial services tied to asset issuances. The law also anticipates future industry developments by allowing additional activities to be prescribed. Notably, not all digital assets fall under the Act’s scope. The definition of “virtual asset” excludes certain digital representations of fiat currencies and records of credit against financial institutions. Similarly, activities like cryptocurrency mining, ancillary infrastructure provision, software development, and the acceptance of virtual assets as payment for goods remain outside the Act’s purview. For those entities that are regulated under the VASP Act, the legislative
The BVI has emerged as a world-leading jurisdiction in the digital assets space. Its careful calibration of regulatory scope, steadfast legal infrastructure, and proactive stance on emerging technologies have enabled it to move confidently at the industry’s forefront.
framework ensures that additional licensing under other financial services laws is typically unnecessary. This measured approach prevents unnecessary complexity and helps streamline operations, reinforcing the BVI’s reputation as a user-friendly jurisdiction.
The BVI’s courts have also recognized cryptocurrencies as property, meeting each element of the traditional definition of “property” outlined in National Provincial Bank v Ainsworth. This recognition grants proprietary remedies, facilitates asset recovery in insolvency proceedings, and empowers courts to protect the interests of stakeholders effectively. Such legal certainty makes the BVI even more attractive to investors and entrepreneurs, who gain access to remedies and restructuring tools that promote market stability and confidence.
Altogether, the BVI has emerged as a world-leading jurisdiction in the digital assets space. Its careful calibration of regulatory scope, steadfast legal infrastructure, and proactive stance on emerging technologies have enabled it to move confidently at the industry’s forefront. As blockchain technology continues to evolve—potentially reshaping everything from global payments to digital identity management—the BVI’s risk-based, adaptable, and forward-looking framework ensures that it will remain a key player. By continuing to refine its regulations in response to new developments and market needs, the BVI is poised to guide the industry’s growth and help shape the future of digital assets worldwide.
Peter Vas Partner, Spencer West’s Banking & Finance and Corporate Groups
Mr Vas advises on matters of British Virgin Islands law. He has acted for clients on offshore transactional matters for around a decade and has previously worked as an attorney in the London office of a US law firm and the Channel Islands and Hong Kong offices of an international offshore law firm. More recently, he has led and co-ordinated the banking & finance and corporate groups of an offshore law firm in Hong Kong. As well as having an established client base in Asia, Peter has strong client relationships in North America, Europe and the Middle East. He has also been consistently ranked as one of the top offshore lawyers in the Asian Legal Business Law Journal’s A-List of top offshore lawyers and has advised on various matters which have been recognised as landmark transactions by leading directories and publications.
Financial
2006
2015
BVI International Finance Centre re-brands to BVI Finance
Establishment of BVI International Arbitration Centre
Arbitration Act
Establishment of BVI Asia Of ce
Establishment of a Government Ministry for Financial Services
20th Anniversary of the Financial Investigation Agency
20th Anniversary of BVI Finance (Formally BVI International Finance Centre (IFC)
20th Anniversary of the BVI Financial Services Commission (FSC) Virtual Assets Service Providers Act
International Tax Authority Act and Establishment of the BVI International Tax Authority
Secure Search (Bene cial Ownership) System Act –Legislation to accompany the creation of the Bene cial Ownership Secure Search System (BOSSs)
This timeline focuses on specific legislations and milestones that followed the enactment of the IBC Act. However, it does not include the numerous other legislations, agreements, and amendments that have contributed to shaping the jurisdiction as it stands today.
ACCOUNTING FIRM OF THE YEAR
BDO
ASSOCIATION OF THE YEAR
BVI Association of Compliance Officers and Practitioners
AUDITOR OF THE YEAR
KPMG
BANK OF THE YEAR
National Bank of the Virgin Islands
BEST CORPORATE SOCIAL RESPONSIBILITY
BDO
INSOLVENCY PRACTICE OF THE YEAR
BDO
INSURANCE SERVICES PROVIDER OF THE YEAR
Nagico Insurances
LAW FIRM OF THE YEAR
Harneys
COMPLIANCE OFFICER OF THE YEAR
Roschelle Smith, CIBC
CORPORATE SERVICES PROVIDER OF THE YEAR
Ogier
LAWYER OF THE YEAR
Kimberly Seagojo, Harneys
REGULATOR/ COMPETENT AUTHORITY OF THE YEAR
BVI FSC
RISING STAR AWARD
Michelle Smith, Harneys Fiduciary
FINTECH SERVICE FIRM OF THE YEAR
Ogier
TECH SAVVY/INNOVATIVE FIRM OF THE YEAR
BVI FSC
Compliance with international regulatory standards
Competitive star t-up costs
Innovative legislation
Internationally renowned commercial cour t
No currency controls
Qualfied professional pool of practitioners
Strong par tnership between public and private sectors
Pioneering, innovative and leading the way in g lob a l busin e ss solution s, th e Br it i s h
Virg in I sla nd s ( BVI) is an in te rnation all y respected business and fi nance centre with a proven committment to connect markets, empower clients and facilitate i nve stm e nt, t ra d e a nd cap it a l fl ow.
