The MFSA has on the 6th September 2019 issued a circular to Virtual Financial Asset Service Providers who are currently benefitting from the transitory provisions in terms of Article 62 of the VFA Act. Such providers were reminded that should they wish to continue operating their business beyond the 31st October 2019, they must commence the VFA services license application process by the said date. The application process shall commence upon the submission to the MFSA of a letter of intent which sets out the following:
- A comprehensive written description of the proposed structure
- The VFA service/s for which licensing is being sought identifying the persons proposed to hold key positions; and
- A legal opinion that the proposed activity does not fall within the scope of traditional financial services legislation.
Persons currently providing VFA services and not intending to apply for a VFA services license are required to cease their operations and submit a notification to the MFSA by not later than the 31st October 2019. Together with the notification, the MFSA would also require the following:
- A signed declaration from the Board that it is not providing or holding itself out as providing a VFA service in or from Malta; and
- A signed confirmation that the entity has no obligations towards its clients.