Malta is yet again showing its commitment to cryptocurrencies, with the Malta Stock Exchange (MSE) launching its subsidiary MSX PLC on Thursday. The subsidiary, which was created to invest in joint ventures with leading digital asset exchanges, has already signed the first Memorandum of Understanding (MoU) with OKEx – a leading digital asset exchange by trading volume.
Together, MSX and OKEx will create a new security-tokens trading platform called OKMSX. The exchanges will combine the MSX’s 26-year track record of operating as a regulated stock exchange and OKEx’s digital asset operations.
Commenting on the partnership, Tim Byun, Chief Risk Officer and Head of Government Relations of OKEx said: “Malta is taking the helm of regulating the blockchain technology and cultivating a regulated cryptocurrency and ICO epicenter.
“This joint venture marks our confidence in the Maltese government as well as our commitment to providing an efficient, secure, and transparent blockchain trading environment to clients worldwide. We believe OKMSX will be a milestone in the economic development of Malta.”
The world’s first regulated decentralized global stock exchange
In addition, the MSX has also signed an agreement with Neufund, a German-based platform which allows securities to be issued as a token on blockchain, creating Equity Token Offerings. Together with cryptocurrency exchange Binance, MSX and Neufund are aiming to create a regulated and decentralized stock exchange which will list and allow investors to trade tokenized securities and crypto assets. The companies will first run a pilot project to establish the parameters needed for a global platform.
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As a result of the partnership, Neufund claims this will become the first end-to-end primary issuance platform for security tokens. In particular, it will be the first for equity tokens. The potential for the platform is significant when considering the market cap of equity tokens is projected to reach $1 trillion by 2020, according to CapLinked.
Zoe Adamovicz, CEO and Co-founder at Neufund said: “it is with great excitement that we welcome Malta Stock Exchange among our Partners today. Our collaboration brings security tokens to a whole new level.
“The aim of our collaboration is to build the world’s first regulated decentralized global stock exchange, which will provide much-needed liquidity to business entities around the world. I look forward to our pilot project, which will help us to test the market’s reaction and realize overall project idea in an environment with minimized risk.”
Malta’s blockchain island
Malta has been one of the most committed countries in creating a positive blockchain and cryptocurrency ecosystem. The EU member state recently passed the distributed ledger technology (DLT) and blockchain bills, which will clear the path for startups to grow on the island.
Chairman of the Malta Stock Exchange, Joe Portelli, commented: “Malta is on the cusp of becoming a centre of excellence within the global digital innovation landscape. We are thrilled to be teaming up with Okex and Neufund, two leaders in the digital asset sector. These partnerships leverage our expertise on the compliance and regulatory front to truly be a trailblazer within the security token sector.”