For the charges of money laundering? Malta yellow card warning unlicensed exchange

 For the charges of money laundering? Malta yellow card warning unlicensed exchange

According to foreign media cointelegraph, Malta issued a notice on Wednesday, warning to the public on an unlicensed currency exchange in the country, OriginalCrypto. Regulators have ordered the platform to stop operating.

It is reported that the platform first aroused the attention of Italy officials, because it did not have the necessary licenses to provide the authorized “investment services and activities”. At present, the SolutionsCM Ltd., the parent company of the platform, has now been examined by the two countries.

Last month, the Malta Financial Services Administration (MFSA) also issued a warning to two unauthorized entities, both GUZMAN CARRERA and DANISPORT SIGLO. It is also noteworthy that the two unsupervised brokers were first found by the Spanish National Securities Market Commission (CNMV) rather than from the MFSA survey.

Malta, the youngest member of the EU member state, has been attracting the head exchanges including Binance, OKEx and us Bittrex, as well as a number of block chain start-ups, as the country’s smallest member country, the country’s smallest member country, has been in the last two years.

In August this year, the Malta parliament formally passed three bills to establish the first regulatory framework for block chain, encrypted currency and DLT technology, making Malta the first country in the world to provide official regulations for block chain, encrypted currency and DLT operators.

But before the bill came into force, the attitude of Malta in the early days of the bill has also buried a lot of hidden dangers for corruption and money laundering. In September, Bloomberg business weekly published an article entitled why the European Union was furious in Malta, indicating that the Malta government’s indulgence in financial corruption, money laundering, gambling and smuggling is affecting the interests of other members. In the face of many questions and investigations and a vote from the European Commission, Malta’s financial position is extremely unlikely. This is a great news for the digital encrypt currency exchange.

In November 1st of this year, the three block chain act of Malta was formally entered into force. Among them, in the digital innovation administration act (MDIA), Malta has set up the authority of the block chain industry, the digital innovation administration, and defines its certification block chain, the innovative technical arrangements in the field of intelligent contracts and related arrangements and the responsibility of service providers.

The second virtual financial assets Act (VFA) mainly defines and stipulates the issuance of virtual financial assets (“VFA”) and the open transactions of the exchange. According to the bill, the virtual financial assets service provided by Malta or from Malta needs to be licensed to the financial services authority. Financial service practitioners need to accept short term training courses to act as agents in the field of encrypted money. In addition, inexperienced investors can only buy virtual financial assets worth 5000 euros within 12 months. Only those who have been defined as experienced investors can invest more money, such as those who have been involved in IC0, and invest less than 1% of their net assets, not their homes. The regulations also include other investor protection mechanisms, including custodians who need independent third parties as assets and investor funds.

The third act of innovative technology arrangements and services (ITAS) covers the registration and technical certification of technical service providers, such as the certification of system administrators and auditors.

From the end of the bill, we can see that the relevant government of Malta has tightened the path of legalization and increased the strength of illegal attacks. But at the same time, it can also be seen that its investigation and initiative still deserve to be strengthened.

However, it seems that Malta is playing a good relationship with the European Union and has a good effect. In the early December, the government of Malta and the 6 European Union members of France, Spain, Italy, Portugal, Greece and Cyprus signed a joint statement on the technical cooperation of the block chain.

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