Dec 05 - How Bitcoin Could Benefit Gibraltar - A KPMG Seminar on 'Decrypting the Myths'
Cryptocurrency is an industry that has for years now been present in our ever-evolving digital world. Only now has Bitcoin been stripped of taboo, with established businesses and National Government’s beginning to question its relevance in the world of finance… and apparently eGaming.
Yesterday’s KPMG and Hassans hosted seminar on ‘decrypting the myth’ behind cryptocurrencies generated a great deal of interest, with many from the gaming, finance and start-up world flocking to the Sunborn’s Aurora ballroom for an insight into how Bitcoin could benefit Gibraltar.
Focus leaned towards the cryptocurrencies rapidly growing presence in the gaming world, with two hundred Bitcoin only casinos operating worldwide. Jon Matonis, Founding Director of the Bitcoin Foundation, discussed the potential issues operators would face, were they to shift their payment method to cryptocurrency, either by entirely replacing the use of national currency within the business, or as a blended operator using both; perhaps requiring players to deposit bitcoin, but still paying their staff in fiat money. He further touched upon the benefits of switching to crypto, including the lowered risk of fraud and the ease of transactions, which are entirely void of extra costs.
Giving the introductory speech, Financial Services Minister Albert Isola expressed the Government’s position on crypto, noting that they were initially unwilling to open their arms to the possibility of bitcoin, with rumours that it was heavily unregulated and de-centralized. The Government’s deep concern for compliance caused them to have a negative view on digital currencies. After being approached by Wave Crest, a Gibraltar based enterprise platform technology company aiming to provide next generation payment solutions, Isola formed a working group on cryptocurrencies, which is set to submit their first report before the end of this month. 
In a panel comprising Jon Matonis, Ben Robinson of GoCoin, a fully regulated, leading payment gateway for cryptocurrencies, including bitcoin, litecoin, and dogecoin. Miles Paschini of Wave Crest and Tom Robinson of the UK Digital Currency Association, KPMG’s Archie Watt pressed the opportunities crypto could bring about for Gibraltar, as a hub for financial services and egaming. Panelists insisted that all the aspects that made Gibraltar so appealing for these industries, would fair well for the introduction and development of bitcoin into the economy. Mr. Paschini, whose company is in the early stages of developing a bitcoin debit card claimed that sufficient evidence has shown that with blockchain technology (the technique used to ‘mine’ bitcoin from digital codes) the financial services industry is set to change massively. Tom Robinson added that startups involved in the cryptocurrency world are looking for a friendly jurisdiction, which could provide great opportunity for Gibraltar in terms of employment.
Dubbing bitcoin ‘the internet of the finance world’ speakers also touched upon the regulatory landscape for virtual currencies and security in the cryptocurrency world. Managing Director of KPMG, Mickey Swindale praised the speakers for their presence.
