Peter Vas

A recent ruling from the U.S. Bankruptcy Court has paved the way for Celsius Network to continue its $4 billion lawsuit against stablecoin issuer Tether. The dispute centres on the alleged improper liquidation of 39,500 Bitcoin – now worth approximately $4 billion – held by Tether as collateral for an $812 million loan. Celsius argues that Tether violated key contractual terms, including a mandatory 10-hour waiting period before liquidation.

The Cayman Islands introduced the Virtual Asset (Service Providers) Act (the “VASP Act”) in 2020 to comply with the standards set by the Financial Action Task Force. It was one of the first offshore jurisdictions to do so, which has arguably given it an edge in attracting cryptocurrency funds and decentralised autonomous organisations that wish to establish a foundation company as a legal wrapper.

The British Virgin Islands (“BVI”) Government has introduced important amendments to the BVI Business Companies Act, 2004 (As Revised) that are contained in the BVI Business Companies (Amendment) Act, 2024 (the “Amendment Act”). These changes came into force on 2 January 2025 and are designed to ensure that the BVI's financial services sector continues to meet international standards and best practices.