OKMSX, a digital asset trading platform operated jointly by Malta Stock Exchange and OKEX has sought regulatory approval from Malta Financial Services Authority (MFSA). Most likely it will get regulatory approval from the Malta Financial Services Authority (MFSA) by the end of Q4.
Regulatory Approval Expected in Q4 2019; Launch in Q1 2020
The trading platform – OKMSX will be modeled on the Prospects MTF ecosystem. Prospects MTF is a multilateral trading facility that is also managed and regulated by the MSE and helps small and medium-sized companies raise funds up to €8 million.
OKMSX has been in the works for one year and is now nearing its final development stage. According to the Times of Malta, the platform is hoping to get regulatory approval from the Malta Financial Services Authority (MFSA) in the next two months. Also, the platform’s launch is expected by Q1 of 2020 as per an announcement which was announced on the occasion of the first anniversary of OKEx’s relocation to Malta in July 2019.
Andy Cheung, head of operations at OKEx, had stated:
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 are excited as it is finally happening in 2020.
Malta Emerging As The Blockchain Hub
Furthermore, OKMSX will be utilizing MSE’s central securities depository (CSD). Also, the latter will not allow individual account holders, only member broker nominee accounts. The initial settlement for the same can be made only using fiat currencies. Additionally, Ethereum blockchain protocol will be used to build it and all security tokens will be held in hot and cold wallets.
The Malta Stock Exchange is one of the few exchanges to move full throttle into the digitization of traditional assets such as stocks, bonds, real estate, commodities, and many other assets. Recently, the exchange signed an agreement and offered CSD services to A Better Exchange (ABE), a digital asset securities exchange operating in 33 countries. Also, the former hosts a large number of Fintech start-ups via its MSX Fintech Accelerator program.
Furthermore, the previous year Malta introduced Virtual Financial Assets Act last year. It consisted of three separate bills regulating virtual assets. Thus, Malta got its name as the “Blockchain Island”.
How will the new trading platform benefit the traders? Let us know, what you think in the comments below!