The cryptocurrency world is going through changes and witnesses us and downs on a daily basis. When it comes to the different factors affecting it, the officials in a given country have the biggest power over the digital currency field and this is the case with the world’s largest virtual currency exchange Binance, which is experiencing turbulence in Japan, where it is based. Following a formal warning, the exchange is considering relocating to Malta.
Japan’s Financial Services Agency is the regulator in the financial field which oversees the operation of all entities, among which the cryptocurrency exchange. The issue which attracted the attention of the officials is the company’s lack of license for operation. In reality, Binance has been looking for ways in which it could receive registration in Japan, but for the time being such has not been issued. Moreover, it was also confirmed that the agency revealed its plans to partner with the police and file criminal charges against the cryptocurrency exchange if its operation does not cease in Japan.
Even though the company has previously stated its intention to acquire licensing in Japan and operate there, its final decision came soon after the formal warning. In response to that Binance announced that it is going to relocate its operation to the island of Malta, which is also known as the online gambling hub of Europe. This is a good time for developing the blockchain-based business there, as the country is always looking for ways in which to improve the iGaming industry and provide more opportunities for development to its licensees.
Malta’s Future Crypto Plans
This February Financial Services Parliamentary Secretary Silvio Schembri stated that the country is well on its way to becoming the first jurisdiction to have its own blockchain legislation, helping regulate the field and provide fair conditions for development for all.
The first proposed bill will help with the setup process of the new Malta Digital Innovation Authority, whereas the second one will look for ways in which to make the process of application of technology service providers easier. It will also take care of the acquisition of certificates of entities which are looking for an opportunity for development.
Malta seems to be more than happy to welcome the leading business in the crypto world and provide it with its convenient environment for development which helps online-based businesses to thrive. The Prime Minister of Malta, Joseph Muscat, officially welcomed the company with a tweet which also expressed the country’s ambition to become one of the most advanced markets when it comes to blockchain and crypto regulation. With the help of low taxes, Malta is able to attract more online gaming businesses and give them a chance for success.
In addition to the announcement that it is relocating its business to Malta, Binance stated that there are plans for establishing a decentralized cryptocurrency exchange in the future which is going to accompany its centralized order-book platform and complement its operation.