Business & Economy

FINANCE: Cyprus moves ahead with fintech strategy in Singapore deal

25 October, 2018

Invest Cyprus, the government’s investment arm seeking foreign partners, has signed a memorandum of understating to help develop Cyprus into a digital finance and blockchain technologies hub.

The MoU, signed with VeChain Foundation, a Singapore registered legal entity with focus on building public blockchain solutions, and CREAM, a US-registered legal entity with focus on blockchain project strategic advisory and investments, aims to establish a framework for the basis of cooperation in the field of blockchain technologies and related use cases. 

According to a statement, VeChain Foundation and CREAM will establish a joint entity in Cyprus assisting in the development and implementation of blockchain solutions.  To facilitate a new digital age through blockchain technology the two parties will make suggestions to Invest Cyprus, including policy reform that enables blockchain as an underlying infrastructure for operations and financial services.

The parties will work together to accomplish several national level investment strategies involving the advancement of blockchain technology and blockchain powered economies.

“This cooperation comes to show the real-life utilisation of blockchain technology in financial services, investments and economic reform moving into many other aspects of society, in the context of the Government policy developing a new era of blockchain technology in Cyprus,” the statement said.

According to the MoU, the initial scope of the collaboration consists of the blockchainisation in areas which will be announced as the project matures.

This cooperation represents the single largest venture into blockchain technology and intends to suggest reforms that are transparent, fair, and in compliance with AML and KYC, EU laws, regulations and best practices, which will also create value and economic development on Cyprus.

"Just as the blockchain technology represents something much bigger than business and money, this partnership represents the true competency for global change embedding trust, transparency, and fairness to the core of our society," explained Sunny Lu, Co-Founder, and CEO of VeChain.

Jackson Fu, Co-Founder and Managing Partner of CREAM said: "As the first nation to fully support the development of the blockchain technology, along with our partners, we will assist [Cyprus] to attract projects and talents from around the world increasing the vivaciousness of development building an ecosystem out of blockchain technology.”  

He added: “In turn, we will help blockchain related projects to find a home where they will be supported and protected by the law to create, develop and thrive."

VeChain provides a comprehensive governance structure, a robust economic model, and IoT (Internet of Things) integration. It is regarded a pioneer of real-world applications using public blockchain technology, with international operations in Singapore, Luxembourg, Tokyo, Shanghai, Paris, Hong Kong and San Francisco.  

US-based CREAM is a leading strategic advisory and investment firm utilizing blockchain and crypto-economy to unleash the potential of enterprises and startups around the world, with professionals in Las Vegas, San Francisco, Shanghai, the Netherlands, Australia, and Singapore.