Getting a Cryptocurrency License in Malta: Is It Worth It?
Malta is one of the most respected and forward-looking jurisdictions for cryptocurrencies, gambling, and FinTech. Not surprisingly, an immense number of international banking and financial institutions are registered in Malta, with the financial services making up 12% of its GDP.
Today Malta is increasingly appealing for major cryptocurrency players. In this article, we will talk about how to obtain the Maltese cryptocurrency license and discuss its benefits.
Who and why needs a cryptocurrency in Malta?
The Maltese cryptocurrency license is a great solution for large crypto projects that value their reputation. Malta regulates the ICO (Initial Coin Offering) process by requiring whitepaper registration, meaning that all of your operations will be in the “white zone”, which provides additional assurance for users and investors.
Malta’s tax system is transparent and friendly – there is a tax refund process for non-residents in Malta. Do remember that tax rates are quite heavy, e.g. personal income tax may be as high as 30%.
What are the options for the bank account opening?
With the Maltese cryptocurrency license, one can set up accounts with banks in Switzerland, Germany, and Lichtenstein. A curious fact: it is extremely difficult to open an account with a Maltese bank due to the internal perception of cryptocurrencies by the banking system.
Why get a cryptocurrency license in Malta: benefits
The benefits include:
- Reputation. The Maltese cryptocurrency is high prestige and will underscore the credibility of your project.
- A bank account with a high-profile bank.
- A friendly regulator with transparent rules.
How does one obtain a cryptocurrency in Malta?
The licensing process in Malta involves the following steps:
- Project preparation: development of the product to be licensed, website, business plan, roadmap, and whitepaper of the project.
- A preliminary meeting with the MSFA regulator. You need to fill out the application form and other documents. After the meeting, the licensing requirements for the authorized capital, stamp duties and application fees will be identified.
- Application submission: registration of the authorized capital and proof of project founders’ assets.
- License issue: you must comply with all the licensing requirements. Following that, you can proceed to implement your project.
- Application processing time is 3 months, with extra time required for you to prepare the necessary documents and fulfill the licensing requirements.
The Maltese cryptocurrency license will be perfect for crypto-asset projects which are targeting the international market and looking for clear and sustainable regulation rules.
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