Warning to the public regarding unlicensed VFA companies

Reference is made to the Transitory Period allowed in terms of Article 62 of the Virtual Financial Assets (“VFA”) Act (“the Act”), which came to an end on 31 October 2019, wherein entities were allowed to provide VFA services. Following the expiry of the transitory period, entities operating under the transitory provisions had the below options:

  1. If they wished to continue providing VFA services, they were required to submit to the Malta Financial Services Authority (“MFSA”) a Letter of Intent to initiate the application process for a VFA Services Licence; or
  2. If they did not want to continue providing VFA services, they were required to submit a cessation of activities notification to the MFSA in terms of Section 3 of the Circular to Virtual Financial Asset Service Providers.

Following the expiry of the transitory period, the MFSA is aware of a number of entities which have availed themselves of the transitory provisions, thus were providing VFA services, but have failed to submit either the Letter of Intent to initiate the application process for a VFA Services Licence or a cessation of activities notification.

The Authority would like to inform the public in Malta and abroad, that the entities listed below are NOT licensed NOR authorised by the MFSA to provide any VFA services or other financial services nor have they initiated the application process to obtain a VFA services licence:

A Bit More Limited HPX Limited
B Hybrid Trade Limited
Babylon Services Limited Hyperwallet Limited
Basetrade Limited J
Bayleaf Limited Jikji Capital Limited
Billions X Trading Limited K
BitRoyal Limited Krypital Group (Malta) Limited
Bitstraq Exchange Limited Kyon Limited
Botwallet Limited L
BKX Exchange Limited Laser Capital Limited
BKX Vault Limited M
Blockchain Exchange Limited Mandala Exchange Limited
BTSE Limited Manticore Ventures Limited
C Muse Service Limited
Cbanx Limited O
Chain Partners (Malta) Co. Ltd. Odin Capital Limited
Coin Temple Trading Limited OK.NET Limited
Consensus Technology Malta Limited OneZero Binary Limited
Crypto2Finance Ltd OTC Desk Limited
DAX Malta Ltd Palladium Exchange
DES CT Exchange Limited S
Digital Terminal Limited SP Outsourcing Sp. Z o. o.
DQR-OTC Limited S-Project
DQR-X Limited SRG Crypto Exchange Limited
Etelaranta (Malta) Limited Thex Trade Company Ltd
Eunex M Ltd. TimeX Limited
Exscudo OU Trendntrade TNT Limited
F Tsalgood Limited
Foresight Technology Limited V
G VBX Limited
GL4 Financial Technologies Limited Venture Miles (Malta) Limited
Globiance Exchange Limited W
Graviex Limited WeX Blockchain Limited
GSOC Limited Won Limited
Zipmex Global Pte. Ltd.

 The MFSA would like to remind consumers of financial services not to enter into any financial services transaction unless they have ascertained that the entity with whom the transaction is being made is authorised to provide such services by the MFSA or another reputable financial services regulator.

Financial regulations oblige licensed entities to comply with strict legal requirements in the interest of investors and the integrity of the market. The activities of unlicensed entities are unregulated, making transactions with such entities risky for investors.

A list of MFSA licensed entities is available and can be viewed on the official website of the MFSA at https://www.mfsa.mt/financial-services-register/.