Why Malta is the most favored Location for Crypto Exchanges?

[jostorres]

All I'll say is that the government is smart, progressive and visionary. They know that the cryptocurrency industry has come stay and they can actually profit from it, including their citizens by putting in place the right regulatory frameworks and policies.

That is the thing! When you have a government that is most especially visionary, can easily see what no one can see, and they have the zeal to want to see the space as well as their economy thrive, coming up with regulatory and lenient framework for regulation will not be a hard thing at all.

Also, businesses tend to move to a region where they are accepted. It is just like normal humans, we drift towards a space or an alternative, where you know you will most definitely thrive, so the fact that Malta is a favored location for crypto exchanges and even businesses is just as a result of how Malta has decided to accept the growth of cryptocurrency businesses.

[zhanyiguai261315]

The government's support for blockchain and cryptocurrencies has led to an investment by investors across the country that will attract cryptocurrencies!
In the future, Japan, Ukraine, Russia, and some countries in Iran will become hot countries in the development of cryptocurrencies!

[sinkfish]

We have seen some of the biggest crypto Exchanges, like Binance and OkEx moved to Malta and another bigger exchange Bittrex is also considering to open their office in Malta.

But why Malta?

One obvious reason is that the government announced in January that it was in the process of establishing a “Virtual Currency Act” and a “Digital Innovation Authority” and that both will provide a regulatory framework to allow crypto companies to operate.

Malta did similar with Gambling as well and it became a huge Gambling hub soon. Now, Malta wants to attract cryptocurrency businesses to its shores, and has already been successful in nabbing some of the biggest. The government had been promising to set up regulations for the industry and provide a better environment to them in future.

Malta is smart, they sees the opportunity. they think 1 step ahead.

[LeGaulois]

When you think about it, there are only 2 companies that moved to Malta and we are happy as much that we say "Malta is the most favored location" People say Malta is smart and open regulations about cryptocurrencies but they did nothing. They just gave their approval to accept 2 companies related to cryptos.
There are several others countries where a company can be located and operate without a problem. Germany, Luxembourg, France, Switzerland..

[Ewinsane]

It is actually not just crypto but many online business that has gray zones in other countries. Casinos are the same, exchanges are the same. If you are in Malta and incorporated in Malta than you do not have to worry about anything since you can just start a business pay your taxes and be fine with it. Of course it is not as wide as thinking Malta will allow you to sell drugs and pay taxes or something, it is just good for many type of business' and there are less headaches for them.

Malta is a small island country and most of their income comes from online places opening up there and paying taxes, people of the country is paying less taxes than the foreign companies that pays taxes there. I think it is a governmental decision that made Malta what it is today.

[andika2018]

Because they have cleary law for crypto and support crypto also. Malta have a long view of the development of crypto. You can be supported by both Malta community and Government.

Malta choosed by most company because they have good regulation about cryptocurrency. Cryptocurrency community just need regulation that allowing them to innovate and i think Malta provide it

[Veerashanka]

We have seen some of the biggest crypto Exchanges, like Binance and OkEx moved to Malta and another bigger exchange Bittrex is also considering to open their office in Malta.

But why Malta?

One obvious reason is that the government announced in January that it was in the process of establishing a “Virtual Currency Act” and a “Digital Innovation Authority” and that both will provide a regulatory framework to allow crypto companies to operate.

Malta did similar with Gambling as well and it became a huge Gambling hub soon. Now, Malta wants to attract cryptocurrency businesses to its shores, and has already been successful in nabbing some of the biggest. The government had been promising to set up regulations for the industry and provide a better environment to them in future.

All other countries such as China, India have not formed any act or regulation of CryptoCurrency.More than that, these countries are treating CryptoWorld as Illegal, which is not a favorable environment for development of Blockchain community.
Malta is Attracting more Blockchain startups because
1. Favorable Rules and Regulations
2. Low tax or No tax
3. Available of Blockchain Developers
4. From entertainment to Gambling everything is Regulated with Less rules which also attarct and encourage Developers to move for Work.

[Dasha88fed]

Now many countries are developing legislation for the introduction of cryptocurrencies in the legal field. Malta just did it before other countries and will be a pioneer in the legalization of cryptocurrencies. In many ways, you can thank the Prime Minister of the country, Joseph Muscat, who is a real enthusiast of cryptocurrencies.

[1Referee]

When you think about it, there are only 2 companies that moved to Malta and we are happy as much that we say "Malta is the most favored location"

That's just the media effect, because they only highlight that what's interesting for people to read. What they don't tell you is that hundreds of startups, ICO's, services focusing on gambling, mining, investments, etc, are settled there because of how friendly it is, and we can expect the flood to continue.

Malta doesn't make a big deal out of allowing unregulated services to settle themselves there, which explains why they became that popular.

There are several others countries where a company can be located and operate without a problem. Germany, Luxembourg, France, Switzerland..

Of course, but they can't compete with Malta when it comes to taxation. Malta offers a complete package the main countries in Europe just can't compete with. What happens is that the strongest and most compliant crypto businesses remain in their country of origin, while the weaker ones flow into Malta with large numbers. Tells you a lot about this space actually.

[vhns222]

Not only Malta bat there are other countries too, Singapur for example they are crypto friendly and all countries which are doing this now would be winners in future.

[Sama517]

The government of Malta knows what it is doing. It is gradually preparing itself for a cryptocurrency companies headquarters in the future. They are very certain that cryptocurrency will rule the world and are already making their country a crypto tourist center.

[alinapvlvch]

anyway Malta has very strongly promoted in this question. and time the multisignificant exchanges have found the best conditions for work there, it speaks about something...

[Umkar]

Only thanks to the Prime Minister of Malta it became possible, for this it is enough to listen to what he said in relation to cryptocurrencies and their adoption in Malta:  "We must be on the frontline in embracing this crucial innovation, and we cannot just wait for others to take action and copy them. We must be the ones that others copy," Prime Minister Joseph Muscat. This example shows that a progressive official can change the vector of development of his country.

[shadyrifles]

Malta authorities are very positive on full adoption of blockchain and distributed ledger technology. This small island is becoming the attraction of exchanges and becoming the heaven for exchanges because the government has open doors for them. Blockchain can transform the transportation and education systems.

[Pab]

Malta had friendly offshore banking system
But after Paradise Papers scandal EU took more close look to offshore banking and now they are no more so secret
Malta is saying that wants to be blockchain hub but what is that mean
Malta get warning from EU because they were selling Malta means EU passports
1 mln euro and you are EU citzen
So Malta is looking for incomes streams but his best incomes streams are still registered there casinos and bookies

[niteroy]

Malta has shown a good example for other countries that it is possible to change the legislation of their country and attract capital, thanks to which the local economy is growing, infrastructure is being developed and new jobs are emerging. I think that this experience will be accepted by other countries when they see the potential opportunities and investments that can come to their country with the adoption of cryptocurrency at the legislative level.

[gentlemand]

The problem with a small jurisdiction becoming a 'crypto haven' is that they're vastly more vulnerable to pressure from bigger ones, let alone the global financial system. Malta can become as crypto friendly as it likes but if the big banks or the EU start to get antsy about it they're going to force Malta to bend to their will. Nowhere operates in a vacuum.

[Harlot]

This is the same to all countries. This crypto exchanges are focus on countries on where they could take advantage of the free market as they could actually monopolize their businesses if they set it up locally. Knowing that this countries have recognized cryptocurrencies as a legal kind of money this is the first hint that these countries are a potential income sources when it comes to their main business model. Malta is just one of the countries where this exchanges are establishing themselves in order to satisfy any existing or upcoming demand.

[patarfweefwee]

Well, that is a good news i guess. For one thing, countries like Malta have the insight and foresight to accept crypto currency to a point that they're allowing headquarters of exchanges be built in their country. I mean it is only a matter of time till mkre and more countries join in on it and be a Crypto currency friendly country

[wuvdoll]

We have seen some of the biggest crypto Exchanges, like Binance and OkEx moved to Malta and another bigger exchange Bittrex is also considering to open their office in Malta.

But why Malta?

One obvious reason is that the government announced in January that it was in the process of establishing a “Virtual Currency Act” and a “Digital Innovation Authority” and that both will provide a regulatory framework to allow crypto companies to operate.

Malta did similar with Gambling as well and it became a huge Gambling hub soon. Now, Malta wants to attract cryptocurrency businesses to its shores, and has already been successful in nabbing some of the biggest. The government had been promising to set up regulations for the industry and provide a better environment to them in future.

What else could Malta actually pull off? I mean they are a small country with no major export and they rely on other countries for so many things even including farming products as well. Hence, they need to bring money in from other countries to balance things out or they would be in major debt if they didn't have foreign money coming in constantly.

Since, they are a country that has been known to let casino and gambling world get online roots there and get tax income from those companies that yield billions of dollars every year without giving them a single headache reasons they have managed to profit from it and balance the sheets well. With crypto they will move further and if they can become a crypto hub for the world like they have been for gambling than they will become a very different version of Swiss banks.