Binance, the worlds current largest cryptocurrency exchange by trade volume is looking to find a new home on the warm island of Malta. Additionally, the Asia based exchange is currently in talks with local Malta banks regarding the possibility of providing fiat support for cryptocurrency trading.
Why the sudden move?
As you all know, U.S.A based, Chinese, and Japanese regulatory authorities have been cracking down on the crypto world recently. Just yesterday, it was reported that Binance received a warning from the Japanese FSA (Financial Services Agency). Apparently, Binance was operating without the necessary legal approvals set forth by the Japanese government. As can be seen below.
Why Malta though? Seems like an odd place to pursue a Blockchain venture, doesn’t it? Well, according to the CEO of Binance, Zhao Changpeng, Malta is actually a very welcoming place for the cryptoverse.
We are very confident we can announce a banking partnership there soon. Malta is very progressive when it comes to crypto and fintech.
As a matter of fact, ChangPeng likes it there so much that we can clearly see him taking in the Maltese sun!
Additionally, Malta is trying to become a hub for Blockchain and digital asset ventures. The nation has repeatedly held consultations and harbored cryptocurrency exchanges before. As reported by the Malta International, the nation plans to certify and provide a regulatory framework for Blockchain related business so that their operations can go uninterrupted, the same thing applies to ICO’s.
Just check out this Tweet from Joseph Muscat, Malta’s Prime Minister.
Is Binance done with the East?
According to Zhao himself, the Binance exchange is currently in talks with Hong Kong and Japanese authorities regarding their current status. It’s worth noting that Binance was one of the few cryptocurrency exchanges that received a warning from the securities and Futures Commission (SFC) in Hong Kong.
What does this mean for crypto enthusiasts?
Well, it’s definitely a good thing. As now Binance will be located in a crypto-friendly environment, meaning their business process will continue to advance and develop thanks to government support. The effect that this will bear on the entire crypto market is quite bright. This could potentially allow Binance to become a direct competitor to Coinbase.