Malta Approves Draft National Bitcoin Strategy

According to foreign media reports, the first draft of a national strategy to promote Bitcoin and blockchain technology has been approved by the Maltese cabinet.

Malta Wants to Lead in Bitcoin Adoption

Malta’s Prime Minister Joseph Muscat has reportedly announced that the first draft of a national strategy to promote Bitcoin and blockchain technology has been approved by the cabinet.

(Malta Prime Minister Joseph Muscat)

At a meeting organized by the Maltese Parliament’s Economic and Financial Affairs Committee, Muscat said Malta would become the first country in the world to embrace Bitcoin and its technology.

“I know regulators are wary of this technology, but the fact is it’s coming,” he said. “We have to be at the forefront of embracing blockchain and bitcoin… We have to be the model for others to follow.”

During the meeting, the prime minister reiterated his stance, calling once again on the EU to harness the potential of Bitcoin and seek to become “Europe’s Bitcoin continent.”

Malta’s strategy will attract investors

“Having a strategy that encourages investors to come here, Malta will be a trailblazer in this area,” Muscat told the Times of Malta. “We need to be a frontline nation when it comes to this kind of innovation, we cannot wait for the regulators to come to their conclusions and then copy something that is already being done in other countries.”

“If Malta develops a legal framework, blockchain technology companies will be encouraged to locate here,” said Theo Dix, a consultant at EY, which co-chaired the meeting.

His sentiments were echoed by Silvio Schembri, chairman of the Maltese Parliament’s Economic and Financial Affairs Committee, who estimated that if Malta could attract just 1 percent of post-Brexit FinTech businesses, “this would mean €200 million would be injected into the local economy,” and he wanted Malta to have “the best possible environment for the development and commercialization of Fintech models and disruptive innovations.”

In terms of regulatory framework, Schembri believes that Malta has the right geographical and climatic conditions, as well as a “strong financial system, skills base and entrepreneurial spirit,” all of which make his country the perfect place to experiment with fintech companies, adding:

“The government should ensure that Malta has the right regulatory framework, the right tax system and the best possible foundation to support this ambition.”