Crypto Exchange Covesting Receives DLT License In Gibraltar

Blockchain, News, Regulation | October 22, 2018 By:

European cryptocurrency exchange Covesting has secured a distributed ledger technology (DLT) license in Gibraltar.

Launched by former Saxo Bank traders, Covesting allows everyday investors to search and compare the performance of hundreds of proven crypto traders and mirror their trades automatically. At the same time, the platform helps investing talents bring their results in front of the public and compete with other traders in the equally-fair environment.

The DLT license, issued by the Gibraltar Financial Services Commission (GFSC), offers Covesting clients several guarantees regarding the safety of their funds, and the trustworthiness of the service they are working with. With the new license, the exchange expects to onboard institutional clients and high-net-worth individuals who want to invest on a fully regulated platform.

Dmitrij Pruglo, Founder and CEO of Covesting, said that receiving a DLT license is a huge milestone for them as a company and as a community.

“To establish a new standard for crypto exchanges, to work in a regulated environment, to use the best practices, and to set a new industry benchmark are the goals we defined for ourselves at the very beginning of our journey,” Pruglo said. “It’s a new chapter for us as a company and we are very excited to continue raising the bar for the industry and ultimately becoming one of the leading and most reliable cryptocurrency platforms in the world.”

Since the introduction of the regulatory framework for companies using blockchain in January of this year, crypto and blockchain related businesses have been engaging in discussions with the GFSC. The framework requires firms to demonstrate it has adequate financial resources, IT systems and controls to comply with anti-money laundering and terrorist financing rules.

“The Covesting team has displayed a deep appreciation for the need to develop a sustainable blockchain ecosystem, built on the principles of transparency and efficiency,” said Minister of Commerce Albert Isola. “I have been impressed by the team’s drive and ambition to meet such a high standard in secure trading.”

Last week, British cryptocurrency exchange Coinfloor became the first offshore company to receive a full DLT license from the GFSC.