New Malta Crypto Regulations Start In November as VFA and ITAS Acts Look to Pioneer Blockchain Ecosystem
Malta’s New Crypto Regulations Will Come Into Effect In November
Malta, known worldwide as the Blockchain Island, will put its revolutionary crypto regulation into effect in November. After the approval of the bills by the Parliament of the country and the Maltese Government, it was announced that the Virtual Financial Assets Act and the Innovative Technology Arrangement and Services Act would be effective from November 1 onward.
The decision was taken after some deliberation made by Silvio Schembri, the Malta Financial Services Authority and the Malta Digital Innovation Authority. The bills were approved in June and were created to really turn Malta into the Blockchain Island for real.
First, the Innovative Technology Arrangement and Services Act will be used to regulate the registration of new blockchain technology in the country and to issue certificates for the companies.
The other act, the Virtual Financial Assets Act will be a landmark to regulate the issuance of the controversial Initial Coin Offerings (ICOs) in the country. For instance, it will require that a White Paper is released before the ICO and that it is signed by the Board of Administration.
The Launch of the Acts To Coincide With The Blockchain Summit
It is not a coincidence that these acts will be released at the same time as Malta Blockchain Summit will be happening (November 1 to 2). According to the CEO of the Summit, the people from the event are delighted with the timing as they will be able to talk about the new regulation, which will be the hottest subject of the conference.
According to the CEO, Eman Pulis, the summit will be used to showcase this new ecosystem that Malta is creating for blockchain companies. The summit will have about 5,000 delegates and will host both an ICO pitch event and a hackaton.
The Blockchain Island
While some of the largest potencies in the world are still wary of cryptocurrencies (we’re looking at you, United States and China) and have been strict with the use of this new technology, Malta is going for the complete opposite side. The Blockchain Island is determined to be worthy of the name as it shows a very progressive stance on this type of technology.
The progressive attitude of Malta is welcome for the exchanges that have already shown that they are willing to work together with governments for the regulation to be trusted by high-profile clients. It is to attract companies like these that the country has decided to create this new legislation.
At the moment, Malta is the home to some very important cryptocurrency exchanges like BitBay, Binance and OKEx. The country has also signed a Memorandum of Understanding with Binance to create a Blockchain Charity Foundation that will create blockchain-based solutions for local and regional issues.