The small European island of Malta wants to become a haven for cryptocurrencies like Bitcoin – the most well-known application of ledger technologies. As such, the country is opening its doors to blockchain and other so-called distributed ledger technologies.
According to CNN, these technologies allow transactions to quickly be carried out between people without interference or control by third parties. Blockchain promises to improve security and reduces transaction costs.
Earlier this month, the Maltese parliament passed three bills to set a regulatory framework and drive innovation in blockchain-like technologies.
The Maltese junior minister for financial services, digital economy and innovation, Silvio Schrembi, took to Twitter. He wrote that the legislation makes Malta “the first world jurisdiction to provide legal certainty to this space”.
Joseph Borg, head of blockchain advisory at the WH Partners legal firm, was quoted as saying: “By taking this step, Malta is destined to become a hub for innovative technology startups and established blockchain-based businesses to thrive, while creating economic growth on the island”.
According to CNN, Malta’s innovative drive has made the island appealing for fintech companies, as well. Binance, the world’s largest cryptocurrency exchange, recently moved its headquarters from Hong Kong to Malta, following regulatory obstacles in the Far East.
