Much of the growth of cryptocurrency and Blockchain in the European continent can largely be credited to Malta for its pronounced receptiveness of the technology that is cryptocurrency.
Regulatory being one of the biggest hindrances to cryptocurrency in terms of national adaptation is no problem in Malta. Although cryptocurrencies are not recognized as legal tenders in Malta, it is still considered “a medium of exchange, a unit of account, or a store of value”.
With the implementation of these cryptocurrency friendly laws covering brokerages, asset manager and exchanges, some of which are futuristic, it is no surprise that leading cryptocurrency exchanges such as Bittrex, Okex and Binance have expanded their services to Malta.
With the Prime minister of Malta, Joseph Muscat terming cryptocurrency and blockchain “the inevitable future of money”, it is no wonder that the ideas behind these regulatory policies have been the game-changing factor that differentiates Malta from every other country as regards cryptocurrency. While some of these policies are still in the making, there are three outstanding laws that make up Malta’s regulatory framework :
The Virtual Financial Assets Act (VFAA) :
The VFAA is quite unique for its simultaneous effects on both crypto firms and crypto users. Aimed at regulating ICOs, this act orders crypto firms to make their entire financial record and whitepapers transparent so as to maintain security for both the companies and crypto users. The VFAA mainly bridges the gap between regulatory and trust for users, a factor that is highly relevant for any form of crypto transaction to be carried out.
The Malta Digital Innovation Authority Act (MDIA) :
The MDIA focuses on governmental overall control of the Blockchain technology. With intercontinental collaborations, the MDIA strengthens the impact of the Blockchain technology.
Innovative Technology Arrangements and Services Act (ITASA) :
With the inclusion of tech, the ITASA bill is geared towards the registration and certification of technology service providers, cryptocurrency exchanges for transparency and accountability purposes.
Conclusion: Industry insiders believe that these already approved bills will be the pillar upon which cryptocurrency and blockchain thrive in Malta and throughout Europe.