On July 4, three bills passed by the Maltese parliament to set a regulatory framework for the upcoming endeavor they are looking to pursue. With these laws, the government hopes it will attract foreign financial tech companies to come in the country.
The legislative win made Malta “the first world jurisdiction to provide legal certainty to this space,” the Maltese junior minister for financial services, digital economy and innovation, Silvio Schrembi, said in a tweet.
Malta’s approach to blockchain, while trailblazing in its approach, is not the first European country within the EU to open its arms to it. Lithuania and Estonia have made moves to handle cryptocurrency transactions, etc. The difference between these approaches is that Malta is focusing on the technology itself. In May, the government announced a partnership with a British blockchain platform, Omnitude, to improve the island’s public transportation network.
According to CNN, Since 2017, it’s been collaborating with Learning Machine Technologies on a pilot program to allow Maltese higher-education and vocational students to access and retrieve educational transcripts and records using blockchain technology. And the country knows there’s yet more potential in other sectors. In an official regulation, the office of the prime minister said blockchain could be used for voting on smartphones and protecting the privacy of health care information.
The legislative wins have already brought fintech companies. After regulatory obstacles in the East, Binance, the world’s largest cryptocurrency exchange, moved it headquarters from Hong Kong to Malta. With backing from Binance, Malta may be home to the world’s first decentralized bank. It will be community-owned by all its customers.