Once again, Malta is making blockchain headlines for all the right reasons. This time, it is because the Malta Stock Exchange is seeking to launch a cryptocurrency trading exchange in conjunction with OKEx. Malta recently launched the world’s first ICCO, and a new type of decentralized bank is being created in the region with the assistance of the Binance exchange. It is becoming known as a global blockchain hub.
The new OKMSX cryptocurrency trading exchange
According to the OKEx blog, a memorandum of understanding (MOU) was signed between OKEx and MSX, the FinTech arm of the Malta Stock Exchange. The MOU was signed on July 19th and details will be finalized in Q3 2018. The new cryptocurrency trading exchange is to be called OKMSX. OKEx claims to be the world’s biggest cryptocurrency trading exchange by volume, and the Malta Stock Exchange has been in operation for 26 years with regulatory oversight. According to the OKEx blog –
“OKMSX will be well positioned to develop an institutional grade security-tokens trading platform. This new platform will launch by Q1 2019 and service clients globally from Malta.”
Institutional investment is becoming a hot topic, due to it potential to advance the whole industry. While it has been widely discussed and anticipated by many, the regulatory policies and technical infrastructure have only recently been established. According to Tim Byun, OKEx head of government relations –
“Malta is taking the helm of regulating the blockchain technology and cultivating a regulated cryptocurrency and ICO epicentre. This joint venture marks our confidence in the Maltese government as well as our commitment to providing an efficient, secure, and transparent blockchain trading environment to clients worldwide.”
The world’s first fully regulated cryptocurrency trading exchange?
Cryptocurrency exchanges have always operated outside of regulatory oversight, described in some jurisdictions as an unregulated mess. This is because there was no consensus on the classification of cryptocurrency. But it now seems as though the realms of traditional fiat and modern money are intermeshing.
While Coinbase has had to fight hard for ongoing regulatory approval in the USA, this new exchange will experience minimal friction due to the hospitable blockchain environment found in Malta. According to Silvio Schembri, Junior Minister for Financial services, Digital Economy and Innovation –
“Today Malta opened up a way for legally binding listing and trading of tokenized securities. We are proud of Malta Stock Exchange to enter a partnership with a worldwide leader in primary offerings on blockchain such as OKEx. I look forward to the fruitful collaboration in the future.”
While there are many cryptocurrency trading exchanges, precious few operate fully within the parameters of regulatory safety. Japan has one of the most advanced exchange regulatory policies in the world, and exchanges must conform to recently issued requirements or close shop. But for the majority of other nations, cryptocurrency trading exchanges are left in limbo. Malta is leading the way for blockchain regulatory policy on multiple fronts.
Digital Nomad with an interest in Zen and Blockchain technology.
Law graduate with 3 years experience as a consultant in the capital markets industry and 4 years experience freelancing on UpWork as a Creative Writer.