Malta’s Crypto Rules ‘Not Yet In Force’
It is no secret that Malta has a new cryptocurrency regulatory framework in place. The only catch, however, is that it is yet in force. Interestingly, new reports have shone a light to it, giving away details which should interest many.
‘Not Yet In Force’
There are at least three bills about blockchain, cryptocurrencies, and distributed ledger technology. All of these were passed by the Maltese Members of Parliament sometime in June. They reportedly set out a handful of ambitious changes to the very legal landscape of the country, particularly the part that oversees cryptocurrency-related businesses and processes. But, contrary to popular belief, neither one of these laws are yet in force. This was later confirmed by the Malta Financial Services Authority.
As of press time, the government is poised to develop the so-called “Virtual Financial Assets Framework.” It is basically the type that will complement the already existing Virtual Finance Assets Act.
The announcement of the three bills was courtesy of Silvio Schembri, one of the members of the Parliament. He is also the parliamentary secretary who looks after the country’s financial services, digital economy, and innovation. It is worth noting that the passing of these bills made the country a leader in passing specific legislation around the tech. Schembri even called the news a “world first,” a term he announced during the revelation of the above-mentioned bills.
Waiting For Completion
The announcement also made clear that, in one way or another, the MFSA will not be in any position of power to receive and request for approvals and authorizations under the aforementioned Act. It is only possible once the framework is deemed complete and official.
Apparently, though, there is no date as to when the framework will take effect. The announcement only stated that it will take effect until “such date as the Minister for Digital Economy may establish by notice in the Government Gazette.”
With that said, it is only right to say that Malta – dubbed as the “Blockchain Island” – is still among the world’s friendliest jurisdictions for digital currencies. It even continues to attract major crypto businesses, with Binance and OKEx among the popular ones. As a matter of fact, the major cryptocurrency exchange Binance announced recently its plans to partner with Malta in a goal to launch the first “decentralized and community-owned bank.” This Malta-based bank will be called Founders Bank.