In line with an official ‘press release‘ published, the MFSA [Malta Financial Services Authority] has permitted its first fourteen crypto assets agents that previously searched for a license.
The approval comes 5 months after the VFA act [Virtual Financial Assets] Act, was ‘adopted‘ by Malta’s government last year and came into power. Per native newspaper named ‘The Times of Malta’, over 250 applications were at first ‘filed‘ by lawyers, accounts and auditors. However, nearly around two thirds of them didn’t passed the official assessment process.
Solely twenty eight of them finally succeeded to further apply for a license, and fourteen were approved with “minor details” to be fixed, the newspaper added. The watchdog states that its representatives will presently be helping these cryptocurrency services providers beneath the VFA.
As per the MFSA, the agents are presently duty-bound to guage their customers’ business plans and guarantee they’re properly ready before submitting an application to the MFSA. Moreover, the agents ought to perform due diligence with their shoppers, checking whether or not they comply with the AML [Anti-Money Laundering] and counter-terrorism financing pointers.
The regulator itself calls the choice an “important milestone within the MFSA’s effort at changing into a regulator of excellence” for the crypto ecosystem. The officials believe that this choice can assist market integrity and public interest in cryptocurrencies.
As ‘reported‘ earlier, Maltese banks being cautious in opening banking accounts for native crypto firms. Once the ‘Times of Malta’ ‘contacted‘ several other legal firms and financial firms earlier in March, they reportedly confirmed that banks were declining their applications to open accounts, stating that it was absolutely on the far side of their “risk appetite.”
Later, the country’s Parliamentary Secretary for Financial Services named ‘Silvio Schembri’, told the native press that the banks were eventually awaiting the agents to get MFSA approval before providing them services.
As Maltese officials have publicly committed to form a “blockchain island” within the country, several high-profile ‘blockchain‘ and crypto business have moved to Malta in search of a lot more crypto-currency friendly jurisdiction. Lately, several major cryptocurrency exchanges, along with OKEx, Binance and BitBay, also established their operations in Malta.