As the number of crypto scams and frauds continues to increase over the years, the blockchain island of Malta also seeks to find a way out of it– with the help of their new partner.
Meet The New Partner Of Malta
As reported on March 11 via the Times of Malta, the country’s Financial Services Authority (MFSA) had announced their recent counter-action against the spread of crypto scams in the country.
With the help of US-based cybersecurity firm, CipherTrace– Malta aims to achieve a safe and compliant environment for crypto and blockchain.
As detailed in the past reports, Malta has become a powerful nation for the industry of crypto and blockchain. Due to this, having a hospitable place for cryptocurrencies must be a top priority for the blockchain island of Malta.
CipherTrace as the Protector For Crypto Businesses
After the deliberation of MFSA, Malta gave their full trust to the company of CipherTrace. Accordingly, CipherTrace will be responsible for making sure that crypto-related businesses in Malta had proceeded to follow the regulatory processes in ensuring their legalities to operate.
Aside from this, CipherTrace will be also given a power to monitor all crypto transactions– in local exchanges up to digital wallets– in the country.
“CipherTrace compliance monitoring will provide the MFSA with powerful oversight tools to automate regulatory processes and audit the risk management of virtual asset businesses licensed in Malta,” stated by Joseph Cuschieri, CEO of MFSA.
Over the past years, Malta reached their target of requiring all crypto businesses to pass through a process which will be the basis of their licensing. This resulted in at least 29 companies and firms seeking to get their license given by the government.
As Malta believes that regulations always maintains the order in the crypto industry, CipherTrace also shared the same mindset. However, per CipherTrace, the key on maintaining a great relationship between the digital assets and the government still ends up on making sure on the legibility of the businesses– in this world full of scams and schemes.
“The compliance monitoring tool will help [to] decide which virtual asset businesses to trust as corporate customers. These insights help banks avoid de-risking by turning away valuable customers in this lucrative and fast-growing sector,” said by David Jevans, CEO of CipherTrace.
CipherTrace was founded in 2015 by Silicon Valley entrepreneurs. This company has been famous these past months, resulting in their $15 million worth of investments in the market.
Still, the quality of security in their system somehow became one of the reasons for their appointment in the Malta island.