OKX has chosen Malta as the MCA center for EU crypto compliance
OKX, a crypto exchange and Web3 technology company, has announced that Malta will serve as the market in the Center for Crypto-Assets (MiCA) to ensure compliance with regulatory requirements in the European Union.
In a press release shared with Cointelegraph, OKX explained that Malta was chosen for its “high regulatory standards” and the company's team and infrastructure in the country.
Speaking to Cointelegraph, OKX Europe General Manager Erald Goss further explained the decision, explaining that the company “has a VFA Class 4 license in Malta from 2021.”
Related: OKX Exchange Exits Nigeria Due to Regulatory Concerns
Malta MCA Centre
Regarding the regulatory implications of Malta's MiCA hub, Goss explained that “MiCA will harmonize crypto regulation across all 27 EU member states and 3 additional EEA states.
“[OKX has] A fully operational team in Malta, with local compliance, risk, legal, finance and senior management teams. We have selected Malta as the MCA hub for the implementation of the MCA, which will allow us to provide regulated access to crypto-assets for EU users once the MCA is operational.
According to the press release, Malta provides a “good basis” for OKX to offer its services to customers in the EU due to its “comprehensive regulatory approach”.
Related: MiCA rules take effect in Europe – here's what you need to know
Trading plans for fiat and stablecoins
The press release details OKX's plans to offer spot trading to eligible EU residents through OKCoin Europe Ltd., including the euro and the dollar (USDC).
Once the MCA becomes fully operational on December 30, the exchange plans to provide EU residents with valuable services and other trading options.
Goss explained that OKX believes that “upgrading” to the newly required MCA standards “will be minimal”, justifying the company's selection of Malta as the “home regulator for the MCA passport”.
“We have a strong focus on user experience and want to localize our products and services for our local communities.”
Guus explained that the exchange will continue to build local experience in the EU, providing security and transparency by publishing monthly backup confirmations.
Related: MCA cites USDT and 5 stablecoins to keep listed until July 1
OKX comes out of Nigeria
The development comes as a result of changes in “local laws and regulations” that OKX will withdraw from Nigeria and cease customer service.
Users have been given a deadline of August 16 to access the platform, after which they can withdraw their funds or close their positions on the exchange.
OKX suspended Nigerian withdrawals in May, citing regulatory concerns, following allegations that Binance was using Nigeria's fiat currency, engaging in tax evasion schemes and laundering funds.
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