As regulators and blockchain companies in the States play cat and mouse, some interesting developments are going on in Europe. The crypto community watched on in awe last week as Malta became the first country to pass new blockchain-based regulations. At last, a clear set of guidelines on how to hold a legal ICO!
The Maltese government recognizes that new laws are needed for new technology and situations with no precedent. So, rather than risk quashing innovation and labeling everything a “security” or a “utility,” they will use a qualifying scale system. At one end, it’s a security; at the other end, a utility. But something can also be a hybrid in the middle – a virtual asset that can be traded on an exchange.