Malta FSA Under Consultation Processes To Inform All About New Crypto And Blockchain Bills
With three blockchain and cryptocurrency laws announced by the Malta Financial Services Authority (MFSA), many are still awaiting them to come into effect. The news regarding the bills was first announced on July 20, 2018, but the MFSA is currently going through a consultation phase to gather more opinions prior to finalizing them.
An individual who is more aware of the matters, Joseph F Borg took to CCN to express the reasons behind the assumption that there is a “delay” in implementing the bills. Borg actually argues that it is normal for it to take some time, as the involved industries require a transitioning period.
In Particular, He Shared That:
“Although the laws were published last week, they are expected to come into force in October of this year. This will give time for industry players to adjust accordingly to benefit from the transitory provisions […] authorities to cater the large amount of applications that will be submitted in the first few months.”
The MSFA continues to tell blockchain industry that patience is key, as its ongoing consultations play a fundamental role in enforcing the bills into a law. As for the three bills that have been passed, they include the Virtual Financial Assets Act (VFA), the Malta Digital Innovation Authority Act (MDIA) and the Innovative Technology Arrangement and Services Act (ITAS).
First, the VFA Act was established to regulate Initial Virtual Financial Asset Offerings and Virtual Financial Assets, also referred to as Initial Coin Offerings (ICOs). Second, the MDIA Act will focus on the implementation of blockchain technology, as well as the use of the distribute ledger technology (DLT), smart contracts, and related aspects as per regulation. Lastly, the ITAS Act seems to work in unison with the MDIA Act – depending on what category one registers under.
As for the consultation phase, it is said to come to end as of July 27th. After this date, MFSA will be taking the necessary measures to finalize its decisions and the already passed laws altogether.