Stellar Development Foundation and the Bermuda government announced that Bermuda will migrate key payment and financial services activities to the Stellar network to advance its plan to become the world's first "on-chain national economy."

This plan is built on the regulatory framework of Bermuda's 2018 Digital Asset Business Act, aiming to reduce local merchants' payment processing costs by 3% to 5% or even higher.
According to the plan, Bermuda residents will be able to receive wages, pay local merchants, pay government fees, and hold, send, and receive digital assets through digital wallets on the Stellar network in the future.
Government agencies expect to pilot stablecoin-based payments, financial institutions can access tokenization tools, and related assets may also be used for government payment scenarios such as social service disbursements.