Malta has the largest cryptocurrency by trading volume.
An analyst from Morgan Stanley, Sheena Shah, published a report about cryptocurrency exchange. This research measured the trading volumes of cryptocurrencies found on all legal exchanges around the world.
A team conducted by Morgan Stanley, (an American investment banking company), were surprised to find out that Malta is leading in virtual currency trading volume. This study found astonishing conclusions, stating that the most cryptocurrency exchanges are done in the UK and are processed through exchange companies registered in Malta. In contrast, the UK accounts for 1% of global trade volume.
The crypto exchange industry is growing each day. Around the world, many people are opting to trade their fiat money to bitcoins or other altcoins found in the crypto market.
How did Malta obtain the highest trading volume of cryptocurrency exchange?
Last March, Binance, one of the world’s leader in crypto exchange, has expressed its plans to move its head offices to Malta. In their research, Ms Shah’s team stated that if Binance did not choose to move to Malta, the island would be “much further down the list.”
In a statement, “Binance said that it was moving away from Asia (currently registered in Hong Kong) due to more stringent regulation, especially from Japan. The third-largest exchange, OKEx, also recently announced that it was opening an office in Malta as the government markets itself as “The Blockchain Island”.”
In the report presented by Ms Shah, it states that:
“The blockchain and cryptocurrency industry is growing rapidly and can have economic benefits for a particular country through the creation of start-ups…, research and development and financial transactions.” Due to this, the “Governments are having to consider their regulatory stance quickly.”
Many blockchain companies are looking for countries that offer attractive regulations such as Malta. It is a known fact that crypto companies are looking to operate in countries offering a “regulatory certainty” with low tax rates to operate their business. In fact, Malta is offering crypto regulation certainty through its legislation and offering foreign companies low tax rates, encouraging them to work in Malta.
Last week the Maltese government presented three bills to parliament on blockchain and cryptocurrency regulation. Through these set rules, the Maltese government is hoping to attract more blockchain based companies to open up or transfer their offices on the island. With these leading blockchain companies, Malta’s dream to become the Blockchain island will become a reality.
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