The MFSA exposes Coinmalex and Crypto Foxtrades in false claims of possessing license for operating in Malta.
The chief financial regulator of Malta “The Malta Financial Services Authority” (MFSA) has stated the names of crypto companies claiming to be operating under the Maltese law with holding a license. The MFSA is issuing a warning directly towards investors to be aware of potential false claims when it comes to any involvement with crypto companies.
Two companies that have been falsely claiming to be licensed and operating in Malta are the crypto platforms “COINMALEX” and “Crypto Foxtrades”.
Their websites and marketing materials claim such conditions for operating. Crypto Foxtrades claims on its website to be “licensed and regulated as a Category 3 Investment Services provider by the Malta Financial Services Authority” alongside a document that appears to be from the Malta Business Registry while its authenticity is still questionable. This category is real but the MFSA claimed that the platform is not licensed under such category.
COINMALEX seems to have the exact same document on their website, as well.
The regulator has been operating since 2018 in taking out crypto scams and frauds. They issued a statement to both platforms that states the following:
“The MFSA wishes to alert the public, in Malta and abroad, that Crypto Foxtrades is NOT a Maltese registered Company NOR licenced or otherwise authorised by the MFSA to provide the service of an exchange or other financial services which are required to be licenced or otherwise authorised under Maltese law.”
There is still no commentary on the case by both companies.
Until October 2019 these applicants were operating under transitory provisions set in the Virtual Financial Assets Act which holds rules for crypto companies. Those who want to continue providing their services can apply with the MFSA.
At BestBitcoinCasino.com, we believe that regulation is an utmost importance and we are pleased that financial authorities in Malta take the needed steps in order to assure safe environment for the crypto community.
As recently some countries widely opened doors to cryptocurrency and with the latter becoming massively used in sports betting and online casinos, licenses such as the Maltese one are necessary in order to provide transparency and credibility to the iGaming business.
If you’re interested in getting an updated 2020 list of all Bitcoin casino reviews for this market, check out the casino review section.