Crypto app and exchange Crypto.com recently announced that it received regulatory approvals in Malta. The company now has a Class 3 Virtual Financial Assets (VFA) license from Malta Financial Services Authority (MFSA).
A Maltese pioneer
According to Crypto.com, it has become one of the first crypto companies to get regulatory approval in Malta. The island nation approved a new set of crypto laws in 2018 to regulate the market which helps in bringing crypto platforms under the MFSA with a clear regulatory framework. Now that Crypto.com has a Financial Institution License, the company can provide payment services and also issue electronic money. The Class 3 VFA license will allow it to provide custody services, order execution, and account dealing for both professional and retail investors.
Co-founder and CEO of the platform Kris Marszalek said,
“We have a long-standing commitment to building a fully regulated business in every market we operate in. Being one of the first cryptocurrency platforms to receive in-principle approval for a Class 3 VFA License and a Financial Institution License is an important milestone and we look forward to securing licenses in more markets throughout 2021.”
Making inroads into Europe
The company is trying to get a competitive edge in Europe with new regulatory approvals. Malta, which aimed to become the ‘Blockchain Island’ is also opening up to international platforms. Some of the leading crypto exchanges in the world are now moving to Malta to gain from their regulatory offerings. The European country’s new laws are helping it become an important destination for blockchain and crypto firms looking for friendlier regulations.
Maltese authorities also announced earlier this year that they will be working on substantial measures that could help it usher towards a digital economy. These measures will also include the regulation of crypto platforms. The authority received “Letters of Intent” from as many as 34 crypto companies from around the world, including 21 crypto exchanges.