GRVT secures Bermuda license to become the world’s first regulated DEX, paving the way for mainstream DeFi

A First in DeFi Regulation

This regulatory approval allows GRVT to operate as a licensed digital asset exchange under Bermuda’s Digital Asset Business Act (DABA), initially catering to select corporate clients. The company plans to upgrade to a Full Class license, enabling the launch of a global institutional-grade derivatives exchange.

This milestone demonstrates how decentralized platforms can operate within regulated frameworks. GRVT’s approval sets a new benchmark for compliance in DeFi, positioning the platform as a leader in the effort to close the trust gap between traditional finance and blockchain-based innovation.

Overcoming Barriers to Adoption

DeFi platforms have faced ongoing challenges in gaining the trust of traditional financial institutions, primarily due to unclear regulatory frameworks and concerns over security and compliance. GRVT’s approval by a reputable authority like the BMA underscores that decentralized platforms can meet the rigorous standards required for institutional acceptance. This alignment is expected to help DeFi platforms attract mainstream financial players and promote sustainable growth in the sector.

Founded in 2022, GRVT operates as a hybrid derivatives platform, combining off-chain order matching with on-chain settlement and delivering speeds of up to 600,000 transactions per second. The company’s vision is to create an open financial marketplace where both individuals and institutions can access financial products with ease. With its regulatory milestone in Bermuda, GRVT is positioned to redefine DeFi by integrating compliance and security into its operations.

Hong Yea, co-founder and CEO of GRVT, emphasized the significance of regulatory compliance.

“Bermuda is a pioneer in structuring and providing regulatory guidance for the digital asset market,” he said. “Securing the license from the BMA reinforces our commitment to bridging decentralized finance and regulatory compliance.”

A Supportive Regulatory Ecosystem

Bermuda’s leadership in digital finance has been instrumental in enabling GRVT’s success. Premier E. David Burt applauded the achievement, emphasizing Bermuda’s regulatory framework as a foundation for innovation and oversight. Kendaree Burgess, Managing Director of the Bermuda Business Development Agency, highlighted the island’s role as a global hub for digital finance, noting the milestone as a testament to Bermuda’s progressive approach.

GRVT’s legal counsel, Walkers (Bermuda) Ltd., provided critical support throughout the licensing process. Rachel Nightingale, a partner at the firm, highlighted GRVT’s dedication to operating within Bermuda’s regulated environment.

Global Expansion Plans

Meanwhile, GRVT is not stopping at Bermuda. The platform is actively pursuing regulatory approvals in other jurisdictions, including aligning with the European Union’s Markets in Crypto-Assets (MiCA) framework and engaging with the Abu Dhabi Global Market (ADGM). These efforts reflect GRVT’s broader strategy to establish itself as a trusted, global player in the DeFi space.