The Financial Services Authority of Malta (MFSA) officially approved the first 14 crypto assets agents. All of the agents sought for a license before, according to an official statement that reached our alt coin news today.
According to the statement, the approval was granted five months after the Virtual Financial Act came into force in Malta. The VFA act is now in force, adopted by the Maltese government, since 2018. The Times of Malta writes that more than 250 applications were filed. Most of the applications came from auditors, lawyers, and accounts. However, most of them failed to pass the assessment.
28 passed the assessment stage but only 14 got their approval with minor issues that need fixing. The watchdog says that its representatives will help the applicants under the new VFA.
According to the MFSA, the agents have to evaluate the business plans of their customers. They should also ensure they are ready before submitting the application to the MFSA. The agents also have to check whether the applications are in compliance with the Anti-Money Laundering guidelines.
The regulator believes that this decision is an ‘’important milestone in the MFSA effort at becoming a regulator of excellence.’’ Many officials also believe that this will promote the integrity of the market. The expected result is for the interest in crypto to rise.
However, the banks in Malta are still being extremely cautious. Many of them are not willing to open bank accounts to crypto companies. The legal companies of the island confirm that banks continually decline the applications. Financial companies also state that banks refuse to open accounts for crypto companies. The bank claim that opening an account for a crypto business is beyond their ‘’risk appetite.’’
Silvio Schembri, the secretary for Financial Services says that banks are waiting for approval by the Financial Services Authority of Malta. He stated that the banks will eventually join in but only after getting approval by the MFSA.
Maltese officials aim to create the best ‘’blockchain island’’ after many blockchain businesses moved there. The crypto jurisdiction seems to be well for companies especially since companies like Binance and OKEx have their offices on the island.
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