Crypto.com is one of the first crypto companies to obtain two important licences from the Maltese regulatory body
Crypto.com, a crypto currency exchange and debit card provider, has received important regulatory approvals from the Maltese government.
According to an announcement on 24 November, the Malta Financial Services Authority, or MFSA, has granted Crypto.com formal approval for two financial licenses: a Financial Institution License and a Class 3 Virtual Financial Assets License, also known as the Class 3 VFA License.
Once the official conditions are met, the Financial Institution License will allow Crypto.com to provide payment services and issue electronic money. The Class 3 VFA License allows Crypto.com to offer investment management, custody and trading services to both professional and non-professional investors.
As stated in the announcement, Crypto.com is one of the first crypto companies to receive these regulatory approvals from the MFSA after the agency approved the first VFA Agents in May 2019. Prior to obtaining these licenses, Crypto.com operated in Malta under the transitional provisions of the VFA Act.
Kris Marszalek, co-founder and CEO of Crypto.com, explained that the company hopes to obtain new regulatory approvals in other markets over the next year.
Known in the crypto community as „Blockchain Island,“ Malta has long worked actively to establish crypto regulation in the country.
In 2018, the Maltese government introduced three laws to establish a regulatory framework for cryptos, confirming its focus on the development of the bitcoin formula industry. However, it seems that several startups in this area have decided to leave the country due to an apparent lack of clarity. By April 2020, the MFSA had not even issued a crypto license.
In July 2020, the Maltese government announced a departure from its old blockchain programme to take a more comprehensive approach to regulating the digital economy.