Maltese banks not seem eager to service crypto businesses

Posted 04 March, 2019

Malta doing its best to get the status of the leading hub for the crypto and blockchain companies and hosted numerous projects and companies in this area, but the latter mostly report problems with bank account opening now.

According to local media, some sources stated that Maltese banks refuse to open accounts citing extremely high risks as the main reason. It was found out that the banks very often adopt position under which they do not differ crypto and sole blockchain companies that very often operate in various areas.

The Maltese government commenting on this issue cited the need to determine a clear line between crypto companies and blockchain ones. As the representatives of the authorities confirmed, local banks definitely were less cooperative when it comes to crypto businesses since technological companies get a more advantageous position.

Notably, the government is in talks with the representatives of the banking sector and market players trying to settle the disagreements.

At the same time, the banks in their turn refuse to deal with the crypto businesses that do not have MFSA license, as the news report reads.

For reference, the Maltese Financian Services Authority reportedly received 28 applications, which are said to be considered with the determination to be made by end-March.

Back in 2018 the Maltese authorities decided to adopt quite a flexible stance towards the crypto market and provided the companies in the industry with the favourable business environment. As a result, numerous crypto companies, including trading platforms, decided to relocate businesses to the island. However, the global financial institutes, in particular, the World Monetary Fund stated that the fast development of the crypto segment can jeopardise Malta's economy.

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04 March, 2019 13:41

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