A new agreement will now see MSX PLC, an arm of the Malta Stock Exchange, launch a digital exchange for trading security tokens, with Binance.
The signed Memorandum of Understanding (MoU) is coming, fews weeks after Binance announced its decision to continue operating in the island, over the country’s favorable crypto climate.
Chairman of the Malta Stock Exchange, Joe Portelli, expressed delight about the MoU. Speaking with Bitcoin Magazine, he said, “Both parties believe Malta offers a well-regulated and pragmatic framework for the listing and trading of security tokens. We anticipate security token offerings will have a major positive impact on the global capital markets.”
The new security tokens platform will leverage the MSE’s track record and extensive experience in “regulatory compliance and client due diligence” in collaboration with Binance’s substantial international reach.
Changpeng Zhao, CEO of Binance, said his company was thrilled to be part of the builders of the “blockchain ecosystem in Malta” which has become a global hub for blockchain-based companies thanks to its “active and transparent crypto regulations.”
“This partnership will allow Binance and MSX 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.
It would be recalled that in 2018, in a bid to seek partnership with leading crypto exchanges to create joint ventures in the country, the Malta Stock Exchange (MSE) launched the MSX PLC. At the time however, an MoU was signed with OKEx to launch an institutional grade security-tokens trading platform dubbed OKMSX.
Malta has long been a crypto- friendly environment which is why many blockchain businesses like Binance and OKEx continue to function there; thanks to the three blockchain bills passed into law in July 2018, by the Maltese Parliament, to established a regulatory framework for the country’s blockchain sector.