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.
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.
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.
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.
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.
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.
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.
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.
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 |
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Timeframe for Approval: | 3 months |
Regulator: | Malta Financial Services Authority |
Local Director: | Minimum of one director |
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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:
(including but not limited to directors, shareholders and beneficial owners)