MGA Examining Cryptocurrency Application
The value of Bitcoin recently skyrocketed to well over $14,000, and regulators around the globe are finally beginning to realise that this valuable cryptocurrency could have a myriad of lucrative applications within their respective jurisdictions. The MGA (Malta Gaming Authority) is one of these regulators, and being one of the more progressive iGaming regulators in the world, the pressure is on for the Maltese authority to deliver a solution that incorporates the latest technology safely and responsibly. With this in mind, the MGA has recently called for companies to register their interests in both cryptocurrency and distributed ledger technology (DLT) future projects. Last week, the authority announced its plans to gather both opinions and information on these two potentially lucrative verticals, all the while ‘actively considering’ the allowance of operators to apply cryptocurrencies and DLT technology to their gambling-related offerings.
Markets Must Protect Consumers
This announcement may seem like overtly positive news, but the Maltese gambling authority highlighted that in order for these changes to be implemented, certain factors must be in play. According to the regulator, the two potential markets in question must protect both their consumers and the region’s reputation by actively preventing money laundering and other criminal activities through their platforms. In an official statement on the matter, the MGA noted that with numerous innovative concepts and projects already available on the iGaming market, it is calling upon interested parties that are willing to share details regarding their DLT and cryptocurrency projects in order to gain a better understanding of what these markets could potentially offer their customers.
Consensus To Be Made In Q1, 2018
The statement noted that the regulator is currently creating sandboxed, live testing environments to learn more about cryptocurrency usage in the remote gambling sector. Furthermore, the authority is also creating new drafted guideline principles that would control the application of DLT and its various adaptations within the iGaming industry. The Malta Gaming Authority is currently gathering information on these two burgeoning forms of technology, and will do so until January 2018. From there, the regulator will evaluate all of its submissions with the goal of publishing DLT guiding principles before the first quarter of next year comes to an end. In the meantime, however, the future is definitely looking bright for the application of cryptocurrencies and DLT in Maltese-regulated operators’ offerings.