Crypto Licensing - Malta

About Malta

Malta’s financial sector is vast in comparison to the GDP and is well-connected to the rest of the world. While Malta has benefited from significant financial inflows, the dangers associated with these inflows, particularly those related to money laundering and terrorism financing (ML/TF), must be properly monitored and addressed.

The protection of the future users, the innovation and the reputation will count considerably at the time of application for a crypto exchange license in Malta. The suitability of the applicant is also considered when applying for the mandatory license. We remind that the financial authorities in Malta have recently adopted a set of laws supervising the digital money exchange.

Malta sits in the heart of the Mediterranean, 93 kilometres south of Sicily and 290 kilometres north of Africa, at the crossroads of Southern Europe, North Africa, and the Middle East. Its strategic location provides it an excellent starting point for entering these areas.

The current population of Malta in 2023 is 535,064.

Maltese, a Semitic language written in Latin script, is the national language of Malta. Many words from English, Italian, and French have been introduced over the ages. It is also extensively spoken in Italy.

The Maltese legal system is a combination of the different legal cultures that influenced it during the colonial period. Despite the fact that British control was officially established in Malta in 1814, the British refrained from implementing common law on the island.

1. Regulatory Clarity

Malta has established a clear and comprehensive regulatory framework for digital assets and blockchain technology. By obtaining a crypto license, businesses can operate within a regulated environment, ensuring compliance with applicable laws and regulations. This regulatory clarity can enhance business credibility and provide certainty for investors and customers.

2. Malta Digital Innovation Authority (MDIA)

The MDIA is responsible for overseeing the implementation and enforcement of the regulatory framework for digital innovation, including blockchain and cryptocurrencies. The authority promotes transparency, consumer protection, and the integrity of the sector.

3. Credibility and reputation

Malta has established itself as a global hub for blockchain technology and digital innovation. The country’s aggressive regulatory stance and emphasis on encouraging innovation have contributed to its status as a cryptocurrency-friendly nation. A Malta crypto licence can boost a company’s brand and legitimacy, perhaps recruiting investors and consumers.

4. Passporting Opportunities

Under some conditions, Malta’s crypto licences may enable passporting opportunities, allowing enterprises to supply their services across the European Union (EU). This allows for easier market access to a larger customer base within the EU.

5. Investor Satisfaction

The regulatory system in Malta attempts to safeguard investors while also promoting market integrity. Businesses can boost investor confidence by operating under a crypto licence, which verifies compliance with regulatory standards and provides transparency and consumer safety.

6. Tax Benefits

Malta provides a favourable tax environment for bitcoin and blockchain companies. The country has established a legislative framework for virtual financial assets (VFAs), and qualifying operations may be eligible for tax breaks and deductions. These tax breaks can boost the profitability and cost-efficiency of enterprises operating in Malta under a crypto licence.

7. Business Adaptability

Malta’s regulatory structure promotes flexibility and innovation in the bitcoin and blockchain industries. It creates a framework for launching initial coin offerings (ICOs) and makes it easier to set up cryptocurrency exchanges and other digital asset enterprises. This adaptability fosters entrepreneurial activity and contributes to the industry’s growth.

8. Supportive Ecosystem

Malta has established a favourable ecosystem for blockchain and cryptocurrency firms. It has drawn a diverse group of industry participants, including legal and financial professionals, technology providers, and worldwide corporations. This ecosystem connects companies to resources, expertise, and networking opportunities.


License: Virtual Financial Asset License
Timeframe for Approval: 3 months
Regulator: Malta Financial Services Authority

Company Structure

Local Director: Minimum of one director
Local Shareholder: Minimum of one shareholder
Local Registered Office: Required
Local Staff: Required
Compliance Officer: Required
AML/KYC: Required
Audit: Required
Economic Substance: Required
Corporate Tax Rate: 0%
Currency: Euro (EU)
Capital Requirement: Varies
Gov. App Fee: EU12,000

The steps that follow will be taken in order to receive a licence:

  1. Application for firm name reservation
  2. Preparation and filing of an application for a Dealing in Securities Licence to the Commission
  3. Application and incorporation paperwork preparation and submission to the Registry
  4. The incorporation of the business
  5. Account opening at a local bank
  6. Getting the Licence
  • MFSA application form
  • System auditor report
  • Professional liability insurance (sample of contract or agreement)
  • Detailed business plan
  • Legal opinion
  • Article of Associations
  • Completed questionnaires for shareholders, directors, senior employees, including compliance officer and MLRO
  • Detailed financial forecasts for 3 years (the best, the worst and the normal scenario)
  • Completed MFSA compliance officer and MLRO competency assessment forms
  • Policy and procedure development;
  • Business continuity and recovery plan

Documents required by all involved individuals

(including but not limited to directors, shareholders and beneficial owners)

  • Passport copy (Notarised)
  • Utility Bill issued within the last 3 months (Notarised)
  • CV or Resume for each involved individual
  • Two professional reference letters
  • Qualifications (Notarised)

For Corporate Shareholders

  • Articles of Association in English
  • Registered office address documents (Notarised)
  • Company Register of director/s
  • Company Register of UBOs (shareholder register, or incumbency certificate, or share certificates)
  1. Formation of international business corporation.
  2. Preparation and drafting of shareholder and officer agreements.
  3. Preparation and drafting of narrative business plan.
  4. Prepare five year financial projections.
  5. Preparation and drafting of current financial statements
  6. Preparation and drafting of personal financial statements for owners.
  7. Identification and draft letters naming principal representative and auditor.
  8. Draft and prepare required bank charter and prospectus
  9. Preparation and drafting application with regulatory authorities.
  10. Respond and draft responses to regulatory authority application inquiries.
  11. Facilitate and consummate bankcard relationship with prepaid card program managers
  12. Preparation and drafting of policy agreements and related documents.
  13. Facilitate and consummate IBAN and correspondent bank relationship
  14. Provide for required physical presence and local director
  15. Preparation and review of client greements, website disclosures and related agreements.