After becoming the ‘blockchain island’, Malta to help Vanuatu

BlockChain Island, Malta

Malta has been gaining popularity across the globe for being one of the most blockchain and cryptocurrency-friendly countries. The government in Malta has taken a lot of bold steps in the past few years because of which the blockchain giants have decided to set up their offices in the island.

The support to idea of cryptocurrency comes from the top brass of Maltese government and Prime Minister Joseph Muscat also hosted the DELTA summit in the country. Representatives of biggest blockchain and cryptocurrency companies, government officials, and bureaucrats attended the summit to share information and learn from each other.

Vanuatu’s Minister of Foreign Affairs, Ralph Regenvanu also attended the event and discussed the possibilities of Malta lending a helping hand to the fellow Island country to develop blockchain regulations.

There has been an environment of apprehension in Maltese government and financial authorities regarding blockchain and cryptocurrency because of which the authorities have requested development and review of a legal framework which should then be passed in the Parliament.

This has happened because the Reserve Bank of Vanuatu has asked its citizens to be cautious about using the virtual currency system. According to local media reports, the financial institutions of the country have been encouraging the individuals and businesses to stay away from cryptocurrency.

Because of this environment of distrust, the Government of Vanuatu directed the Vanuatu Financial Services Commission (VFSC) to stop issuing blockchain and crypto businesses with a Financial Dealers Licenses (FDL), as reported by livebitcoinnews.com.

Vanuatu is not the solitary example when it comes to countries and their financial systems showing doubts on the safety and reliability of the virtual currency system. Major economies around the world, like India, and their top financial institutions have warned the citizens against use of cryptocurrency and blockchain.

However, Malta has been leading the way by passing regulations in the Parliament and also planning to set up first cryptocurrency ATMs in the country. A successful use of blockchain and cryptocurrency system in Malta might act as an encouragement for other countries to do the same.

Image courtesy: Photo by Andre Francois on Unsplash