According to multiple reports, the island of Malta has seen an absurd amount of cryptocurrency flow in the past few years, concerning some authorities.
Some might see this as a positive move from the island because obviously, the crypto market will see this as a plus, but some authorities, including the Financial Action task force, see it as something that is ‘problematic’ and has marked the Island to be closely watched over for any sort of criminal or fraudulent activity, that include tax evasion or money laundering.
Huge Flow of Crypto
Statistical reports show that around $71Billion worth of cryptocurrency has seen flow through the island of Malta since the land adopted the title of the ‘blockchain island’ in support of the crypto industry back in 2017. The Island of Malta has definitely seen some improvements to its regulatory systems for crypto, but some watching over the systems think that the regulations might not be strict enough to justify the flow of this huge amount of currency flow.
The Financial Action Task Force gathered up in the city of Paris, France, to discuss the situation regarding the efforts made by the Island of Malta to counter criminal activity. The meeting discussed whether the Island of Malta should be included in the list of countries that have not been actively working to stop cryptocurrency-related criminal activity. Authorities watching over Malta had shown concerns of Malta actively supporting cryptocurrencies, even when it was minimally regulated.
Risky Moves
Many popular firms, such as Binance, have been present in Malta because of its fairly less strict laws against cryptocurrencies. Many of these firms have been completing cryptocurrency operations with a license for over a year as a ‘grace period.’ This was indeed something very controversial, as it opened up a network for many potentially dangerous illegal transactions.
Crypto Heaven
Despite all of this, the island is considered to be a sort of heaven for any firm working through crypto. Crypto.com recently purchased a digital finance license from authorities in Malta, giving many cryptocurrencies a much better chance to become recognized by traders and investors across Europe. The Island has seen many advancements, so according to many analysts, the Island is transforming from a blockchain island to a digital island, increasing digital trade potential and reach.
