Cryptocurrency exchange and debit card provider Crypto.com has received major government approvals from the government of Malta.
According to an announcement on November 24, the Malta Financial Services Authority, or MFSA, granted Crypto.com two financial licenses: a Financial Institution License and Category 3 Virtual Financial Assets, or a VFA license.
A financial institution license officially allows Crypto.com to offer electronic payment and issuance services. A Class 3 VFA License allows Crypto.com to provide investment management, custody and trading services to both professional and non-professional investors.
According to the announcement, Crypto.com is one of the first crypto companies to gain these regulatory approvals from MFSA after the agency approved the first VFA agents in May 2019. Before Crypto.com obtained these licenses, it was operating under the temporary provisions of the VFA Act. In Malta.
Crypto.com co-founder and CEO Chris Marshall said the company hopes to secure more regulatory approvals in various markets next year.
Malta, which is widely referred to in the cryptocurrency community as the “island of blockchains”, has been actively introducing rules regarding cryptocurrency into the country.
In 2018, the government of Malta passed three laws creating the regulatory framework for cryptography and confirmed that the country is focusing on developing the blockchain and crypto industry. However, a number of startups have had to leave the country due to an apparent lack of regulatory clarity, and MFSA hasn’t issued a single cryptocurrency license since April 2020.
In July 2020, the Maltese government announced that it was moving away from the previously outstanding blockchain program to take a more holistic approach to organizing the digital economy.