The Malta Financial Services Authority said in its strategic plan that it will actively monitor crypto firms to prevent crypto-related crimes.
The Malta Financial Services Authority (MFSA) says in its recently published strategic plan that it will actively monitor and manage business-related risks related to cryptocurrency firms.
Monitor crypto firms to prevent crypto-related crimes
On Sept. 6, the MFSA published its three-year strategic plan for 2019–2021 which states the Malta financial regulator will strive to modernize their regulatory approach to be one step ahead of industry developments.
The MFSA said it will work closely with the Financial Intelligence Analysis Unit and other national and international authorities, including the newly formed Malta Digital Innovation Authority. The regulator added:
“Whilst Malta has taken unprecedented steps in bringing blockchain and crypto technology into the regulatory fold, we understand that such innovations present challenges in the prevention of money laundering and terrorism financing.”
It is clear that one of the regulator’s main priorities is combatting financial crime, money laundering and terrorism financing. As part of this, the Malta regulator stated that it will actively monitor and manage business-related risks, which relate directly to licenced digital assets and crypto companies.
The MFSA explained that it aims to monitor, detect and manage misconduct by firms in a timely manner and therefore minimize the possible detrimental effects on financial markets. The report further states:
“To monitor and manage business risks related to licensed virtual assets and cryptocurrency businesses, the MFSA has invested and is in the process of implementing SupTech intelligence tools. This will better position the MFSA to identify fraud, prevent money laundering and the funding of terrorism and protect consumers, investors and market stakeholders.”
Concerns about financial crime oversight in Malta
Earlier this year, the International Monetary Fund (IMF) said that the MFSA had critical gaps in its policies for Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT). The IMF recommended that the regulator take urgent action in amending its policies, saying that a multi-pronged approach is needed to address the deficiencies.
Blockchain island
Cointelegraph previously reported that as Maltese officials have committed themselves to creating a “blockchain island” in the country and a number of high-profile blockchain and crypto businesses have moved to Malta in search of a more crypto-friendly jurisdiction. Last year, several major cryptocurrency exchanges, including OKEx, Binance and BitBay, set up operations in Malta.
Source: , CoinTelegraph
Articles listed with Cash Tech News as the author are either general information, or may have been imported from another website, to bring our readers a rich media experience that encompasses articles that we find interesting, as well as those curated by others.
The views and opinions expressed here are for informational purposes only, and should not be confused with professional financial advice. These opinions are solely those of the author and do not necessarily reflect the views of CashTechNews.com. Every investment and trade involves risk. You should conduct your own research, and contact your professional financial advisor before making any investment.
Corrections, feedback, and ideas should be submitted through the website contact form.