Will Establish the first Decentralized Bank in Malta
the world's largest cryptocurrency by trade volume, is exploring opportunities to establish a bank with a decentralized system. The project expects support from other crypto investors, centering on the idea of creating a decentralized and community-owned financial institution. The future bank with this different system will be based in Malta. Binance stated that some investors have taken a 5 percent stake with pre-valuation of € 133m ($ 155m). That is, the new bank is an effort to bridge the crypto industry with the banking economy. To achieve these objectives, Binance and its partners need to obtain the required licenses within the country of Malta, where the authorities have welcomed the initiative. The bank board will include government blockchain advisor Abdalla Kablan. And reportedly the council will be led by businessman Michael Bianchi.***
We are honored to be chosen as the location of the first global community bank owned, "said Silvio Schembri, the young minister for financial services, digital economy and innovation within the Office of the Prime Minister of Malta. in a statement released by Binance on Thursday. To operate in the EU, banks will have licenses from Maltese regulators and approval from the European Central Bank.
The fundraiser platform will be based on the blockchain-based fundraising platform, Neufund and will publish legally binding equity tokens. Token sales will be conducted under German regulations in cooperation with one of Europe's major stock exchanges later this year
Part of a Wider Expansion.
As a result of increased regulatory pressure in Japan and Hong Kong, Binance decided to move to Malta, where they intend to arrange fiat-crypto exchange with support for deposit and withdraw fiat with EUR and GBP currency. This exchanger is not the only crypto company that moves from Asia to the island. Okex, another Chinese exchanger, announced in April it set foot on Malta, and in May, Bitbay Poland revealed its plans to move to Malta.
The member states of the EU, compete with destinations like Gibraltar and Switzerland for the attention of crypto businesses from around the world. Recently, the parliament in Valletta has adopted a new law designed to introduce clear rules for the country's growing crypto industry.