Malta Parliament Passes Three Blockchain and Crypto-Related Bills

Malta seems to be attracted by the prospective offered by blockchain technology and digital currencies. Plenary session records indicate that the country’s parliament has approved three crypto and blockchain-related bills.

With this in mind, the bills in question are: the Virtual Financial Assets Bill, the Innovative Technology Arrangements and Services Bill, alongside the Malta Digital Innovation Authority Bill.

The first two mostly focus on the regulatory aspects of distributed ledger technology and cryptocurrencies. The regulatory framework explains how financial authorities will keep a close eye on the market, and adapt policies as they see fit, in an effort to encourage innovation, while also limiting risks. Digital financial assets have therefore been put under the direct supervision of the Malta Digital Innovation Authority. The organization’s main goal will be to “promote consistent principles for the development of visions, skills, and other qualities relating to technology innovation.” 

After the passing, Silvio Schembri, who is the Junior Minister for Financial Services, Digital Economy and Innovation, tweeted: “Today Maltese Parliament unanimously approved 3 bills on DLT/blockchain, a 1st in the World. Honored to have driven these bills. Announced that Mr Stephen McCarthy will be the CEO of the new #Malta Digital Innovation Authority.  #BlockchainIsland -SS”

Thanks to Malta’s positive regulatory framework for crypto companies, several businesses have decided to move their operations to the country. Some of these include BitPay, Binance and OKEx, which are all big fans of the crypto-friendly regulation present in the region. Several comments made by officials indicate Malta’s decision to become a blockchain hub. For instance, the Chairman of the Malta Bankers Association recently stated that:  “blockchain technology is likely the new banker’s dream”, while also showcasing his support for digital currencies.

Based on everything that has been outlined so far, if the Maltese government continues these crypto-friendly moves, while also offering incentives, it is likely that Malta will indeed become a ‘blockchain island’, and hence attract numerous other blockchain businesses.