Binance, one of the world’s largest cryptocurrency exchanges, has been in the Channel Islands this week scoping an operational base for its expansion into Europe. According to The Jersey Evening Post, the delegation from Binance has signed a memorandum of understanding with Digital Jersey to bring a crypto to Sterling exchange to the Island.

The move could potentially bring millions of dollars into the Island’s economy and those close to the deal say this is a seismic move for Jersey’s finance industry.

Zhou Wei, chief finance officer of Binance, who is in the Island, said: “We have chosen Jersey to be the next big step in our global expansion strategy for its clear and pro-crypto investment and regulatory environment.”

“With its local economy based on a major currency (sterling) and its close proximity to the UK and Western Europe, we are confident the co-operation with Jersey will not only benefit the local economy but also form a strong operational foundation for our expansion into the rest of Europe.”

Zhou Wei

The new exchange will create around 40 new jobs, ranging from compliance and AML roles to digital marketing and technology.

The government of Jersey, Jersey Financial Services Commission and Jersey Finance will be working together with Digital Jersey to develop this new area of fintech and are hoping the Island will develop a world-leading blockchain ecosystem.

“With the setup of the fiat exchange here, there will be a lot of interest from the blockchain universe looking at Jersey. We definitely want to bring Binance Labs into this region and invest out of here.”

Zhou Wei

Jersey has long been one of the world’s leading financial centres for the provision of corporate banking services for multinational organisations, financial institutions, companies and firms with cross-border interests and activities.

External Relations Minister Senator Ian Gorst, commenting on the deal said:

“This is absolutely the space where Jersey’s future is. I want to create hope for the Island’s future by a bringing together of its technological future and strength in financial services.”

Ian Gorst