Malta Embraces EU's MICA Regulations: Public Consultation Open Until Sept. 29
On Sept. 18, Malta's Financial Services Authority (MFSA) initiated a public consultation to harmonize its crypto regulations with Europe's Markets in Crypto-Assets (MICA) regulations, slated to become effective in December 2024.
On Monday, Malta's Financial Services Authority (MFSA) initiated a public consultation on proposed changes to its regulatory framework for crypto companies, which will run until Sept. 29.
These changes are aimed at aligning Malta's rules for crypto exchanges, custodians and portfolio managers with the regulations outlined in the European Union's MiCA framework.
One notable proposal is the requirement for crypto providers to establish an "orderly wind-down plan," ensuring a structured approach during business discontinuation.
In 2018, Malta, known as the "Blockchain Island," established itself as a pioneer in the cryptocurrency and blockchain space by launching the Virtual Financial Assets (VFA) framework. This framework was designed to provide regulatory support for all digital financial assets, including cryptocurrencies.
Recognizing the dynamic nature of the crypto space, Malta has consistently adapted its crypto regulations over the years. It has introduced new MiCA regulations in the EU to align regulations for exchanges, custodians, and portfolio managers with the European Union's MiCA standards.
They include the removal of the systems audit requirement for VFA license holders and simplifying compliance. Furthermore, capital requirements for Class 3 and Class 4 licenses have been reduced to $133,000 (125,000 euros) and $159,000 (150,000 euros), respectively, making licensing more accessible.
Professional indemnity insurance requirements have also been
Read more on cryptonews.com
