Hong Kong-based cryptocurrency platform Binance has now migrated to Malta due to a recent ICO ban enacted by China. This move will essentially transform Malta into a “blockchain island”; a hub destined to transform the current cryptocurrency marketplace.
Binance Makes a Trailblazing (and Logical) Choice
The island of Malta has always represented a jewel in the crown of the global financial community and this observation has been reinforced once again. The online cryptocurrency trading platform Binance recently announced that it has decided to relocate to this “blockchain island” in order to provide reliable services to its clients. While Japan was initially considered, regulatory issues eventually caused the firm to reconsider.
Maltese Prime Minister Joseph Muscat was quoted as saying:
“We aim to be the global trailblazers in the regulation of blockchain-based businesses and the jurisdiction of quality and choice for world-class FinTech companies!”
In many ways, such a move does not come as a surprise. Binance is currently the largest cryptocurrency trading platform in the world and jurisdictional issues should never hinder their ongoing operations. Malta played a very large part in billing their island as the “place to be” in regard to modern blockchain technology. Such proactive promotional tactics soon gained the attention of global organisations. Assuming that all goes as planned, as many as 200 individuals may be employed; a welcome windfall to the local Maltese economy. However, this migration may only represent the tip of the digital iceberg.
Other Firms Ride the Digital Wave
Binance has not been the only cryptocurrency company to realise the potential of this veritable blockchain island. Japanese-based firm OKEX Technology has likewise decided to employ Malta to maximise its future growth. This sentiment was mirrored by Neufund and The Abyss; both originally operating our of Berlin. It is also interesting to note that the massive United States blockchain firm Tron is seriously considering similar actions in the near future.
DQR Group is yet another cryptocurrency firm which realises the strategic and jurisdictional importance of Malta. CEO and Founder Dr. Kristian Haehndel believes that this island may very well soon become the digital hub around which the entire blockchain community will efficiently rotate. It is important to note that DQR is building the foundations of a more inclusive economy and aims to empower people by making cryptocurrencies and the wider applications of blockchain technology accessible, comprehensible, and generous.
Co-founded by Genesis Mining, one of the largest cloud mining companies in the world with more than two million customers, DQR is developing a European cryptocurrency exchange and several other ideas, including an online platform focused on research and education, as well as a blockchain-based foundation for humanitarian support.
Thus, it is clear to appreciate that the benefits associated with Malta will have a decidedly substantial trickle-down effect into various other operational facets.
Maltese Parliamentary Secretary Dr. Silvio Schembri further reinforced a positive perspective by stating:
“The fact that Malta is at the forefront in launching a regulatory framework that regulates this sector by means of setting up an authority, in itself has attracted the interest of global companies such as Binance and OKEX.”
A Growing Trend: The Blockchain Island of the Future?
The recent decisions of these major firms clearly illustrate that Malta could very well represent a haven for future digital organisations. It should also be mentioned that this migration is not likely to be limited to cryptocurrency exchanges alone. Any company which regularly engages in blockchain technology will be closely watching these developments. Malta certainly seems to be promising interesting opportunities that are not available elsewhere and the digital horizon looks bright indeed.