On Tuesday, September 11, leading cryptocurrency exchange Binance signed a memorandum of understanding with the Malta Stock Exchange to launch a new digital exchange for security token trading.
@MaltaStockExch pleased to announce an MOU signed, with crypto giant @binance, to set up a security token Exchange.We are becoming a leading crypto centre of excellence. @JosephMuscat_JM @edward_scicluna @SilvioSchembri @cz_binance pic.twitter.com/F3T86y7g44
— Malta Stock Exchange (@MaltaStockExch) 11 September 2018
The forthcoming trading platform is expected to benefit from the Malta Stock Exchange’s “26-year track record of operating as a regulated stock exchange,” with the dynamism and international scope of Binance’s business model.
Speaking at a press conference, Malta’s finance minister Edward Scicluna said that blockchain technology was revolutionary and clearly going to change the world. He added that the country won’t let any opportunity pass it by, insisting that it would have been “crazy” not to establish itself in this area.
MSX PLC, the Fintech and digital asset subsidiary of the Malta Stock Exchange was set up specifically for this purpose, said Edward Scicluna.
The minister also drew attention to the need for transparency and effective measures to tackle money laundering and said that the Maltese approach would be to accompany this technology with adequate regulations.
Wei Zhou said Binance was excited to help build the blockchain ecosystem in Malta.
“This partnership will allow Binance and MSE to host traditional financial assets on blockchain technology through security tokens. We look forward to bringing more innovations to Malta and further establishing our presence here,” he added.
This is not the first agreement between Binance and the MSE. In June the exchange announced that it “joined forces” with Binance for the launch of a programme designed to help start-ups. However, earlier this month MSE chairman Joseph Portelli admitted that no formal agreement had been signed, despite the press release, adding that the two sides simply had “agreed on the intent” of working with one another.
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