Malta Financial Services Authority Warns Against Against Unregistered Crypto Firm

Announcements, News, Regulation | April 6, 2018 By:

The Malta Financial Services Authority (MFSA) has warned against an unregistered cryptocurrency margin trading site that is operating in the country.

An entity operating under the name “StocksBTC,” which is offering crypto investment and other financial services to consumers via its website, is claiming that it is registered with the agency and has a physical location in the country. The MFSA said this assertion is false as there is no entity registered with the agency under the name.

“The MFSA wishes to alert the public, in Malta and abroad, that “StocksBTC” is NOT a company registered in Malta, NOR is it an entity licensed or otherwise authorized by the MFSA to provide any type of financial services which are required to be licensed or otherwise authorized under Maltese law,” the agency said.

The MFSA strongly advised investors and consumers that prior to making any investment or entering into any financial services transaction, they should ascertain that the company is authorized to provide such services by the MFSA or another financial services regulatory authority as applicable.

The warning came after the MFSA released a consultation document on the establishment of the Malta Digital Innovation Authority (MDIA), a regulatory authority which will “certify” blockchain platforms and “verify” crypto transactions. The objective is to promote the implementation of cutting edge technologies and incentivizing operators to work out of Malta.