Parliament of Malta Passes Three Blockchain Bills into Law
July 5, 2018 1:48 pm
Local news outlet Malta Today reported Malta had passed three bills that establish a regulatory framework for Blockchain Technology. The bills include the Innovative Technological Arrangement and Services Act, the Virtual Financial Asset Act and the Malta Digital Innovation Authority Act.
Mr. Silvio Schembri, Junior Minister for Financial Services, Digital Economy, and Innovation within the Office of the Prime Minister of Malta, tweeted about the passing of the bills today, noting that the island nation is a pioneer in giving a robust legal framework for blockchain companies:
“The three Bills that will regulate distributed ledger technology (DLT) have been passed by Parliament and enacted into law. Malta, the first world jurisdiction to provide legal certainty to this space.”
Mr. Silvio Schembri stated that the move taken by the parliament would put investor’s mind to rest as the companies now have the necessary legal tools to work in a regulated environment.
The Junior Minister too showed his optimism about companies selecting Malta as their base of operation, saying that the republic now offers a stable system that will “result in further economic growth.”
Dr. Jean-Philippe Chetcuti of Maltese law firm Chetcuti Cauchi Advocates stated the passage of the new legislation is “an important milestone for Malta as a forward-looking economy, really establishing Malta as the ‘blockchain island.’” Chetcuti noted that firms would feel more comfortable “committing to further investment, and setting up in Malta.”
A multitude of blockchain and crypto business have already located to Malta, as the nation’s officials took regulatory steps to become the ‘blockchain island.’ As of late, many crypto exchanges, including BitBay, Binance, OKex have set up operations in Malta because of the development of Blockchain and Crypto Friendly space within the nation. In May, the Transport Minister of Malta declared a partnership with U.K. middleware blockchain startup Omnitude to enhance the Maltese Public Transport Service utilizing distributed ledger technology.
Furthermore, the Malta Gaming Authority issued a document with guidelines on blockchain and digital currency application in the gaming industry, trying to apply standards to games that use digital currencies and blockchain. A year ago, the government of Malta further declared it was developing a project to test the feasibility of utilizing blockchain technology for the recording of academic certificates.