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OriginalCrypto Rubs Shoulders with Malta and Italy Financial Regulators

Malta is a cryptocurrency island and many companies have set camp there due to the favorable working conditions provided by the government. OriginalCrypto, a new cryptocurrency exchange has rubbed shoulders with Malta and Italy financial regulators the wrong way.

Malta Warns Traders Not to Use OriginalCrypto

Malta financial regulator is keen on monitoring the cryptocurrency market in the island despite the good working conditions it offers. A few hours ago, Malta and Italy issued a joint warning to crypto traders not to use OriginalCrypto.

When making the announcement, the two countries officials stated that the cryptocurrency exchange is yet to be licensed. As a result, the officials of both countries are concerned that the platform is not authorized to provide crypto investment services as well as conduct activities related to digital currencies.

OriginalCrypto

The owner of the exchange, SolutionsCM Ltd, is now under serious scrutiny from both countries. Malta Financial Services Authority categorically stated that the company should stop contravening article 18 of the Legislative Decree No. 58/1998 that provides clear guidelines about provision of investment services in Italy.

We have severally reported that Malta government is focused on leveraging cryptocurrency and blockchain technology fully. However, this developing story is enough proof that the country is also keen on making sure that only legit crypto businesses operate in the island.

In the move to transform and streamline the industry, a number of regulations have been fully implemented on the island. Malta Financial Services Authority has also signed deals with major cryptocurrency exchange platforms such as Huobi and Binance.

OriginalCrypto Not Welcome to Operate in Malta and Italy

Questions about the legitimacy of the services rendered by OriginalCrypto first arose early this year. Most of the experts who raised alarm stated that the platform could be scam. They warned crypto traders to be careful when dealing with the company.

In February, one of the trusted cryptocurrency news and monitoring website ScamBitcoin reported that OriginalCrypto was marketing itself to clients as a cryptocurrency financial brokerage. To do this, they have created an ingenious marketing approach that markets their supposedly illegal/unlicensed investment services to the target customers from across the globe.

OriginalCrypto

Investigations also revealed that OriginalCrypto provided false information about its setup. The website initially stated that it was run by Bali Limited Ltd, a Bulgarian-based company. Investigators could not ascertain this claim or find a connection between Bali Limited and the exchange platform. The fact that the corporate address provided on the website is not a real physical address raises more questions about the legitimacy of the platform.

Closing Remarks

The concerns aired by Malta and Italy financial regulation officials are based on real facts. It is imperative for cryptocurrency traders to be cautious about OriginalCrypto. The exchange needs to adhere to the set rules and regulations as well as seek accreditation from the relevant authorities to demystify its negative reputation in the market. Read more trending cryptocurrency news here.

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