Malta is widely known as “Blockchain Island” thanks to its progressive regulation of digital assets. A crypto license issued by the Malta Financial Services Authority (MFSA) allows companies to operate exchanges, provide wallets, and offer other virtual asset services across the EU under MiCA rules. The framework combines innovation with strict AML/KYC standards, ensuring compliance, transparency, and market trust.
Scope of activities covered by a Maltese license
A Maltese license covers a broad spectrum of crypto activities, including:
- Cryptocurrency exchange operations
- Custody and wallet services
- Token issuance and brokerage (OTC)
- Payment and transaction processing
- Advisory and financial consulting
This flexibility allows companies to scale multiple business models while staying fully compliant with EU and MFSA requirements.
Key advantages of a Malta crypto license
Malta offers one of the most advanced legal systems for virtual assets in Europe, making it a strategic base for crypto operations.
Main benefits:
- Strong legal framework aligned with MiCA
- Wide range of permitted services under one license
- Competitive taxation with effective corporate rates as low as ~5%
- Access to Maltese and international banking
- EU passporting rights across all member states
- Transparent and structured licensing process
Together, these advantages make Malta an attractive choice for entrepreneurs who want both flexibility and credibility.
Comparative overview: Malta and other jurisdictions
Compared to offshore regions, Malta provides EU market access, stronger banking, and legal certainty. Unlike the UK or U.S., it offers lighter compliance with lower costs, while still maintaining high regulatory standards. Overall, it strikes a balance between strict oversight and business-friendly conditions.
Licensing procedure and requirements
The licensing process is detailed but predictable, requiring companies to show readiness and compliance:
- Incorporate a Maltese company with clear ownership
- Maintain minimum share capital (typically from €120,000+)
- Appoint fit and proper directors and a Compliance Officer
- Prepare AML/KYC policies, IT security, and a business plan
- Establish a physical office in Malta
- Submit application and documentation to the MFSA
The process usually takes 5–9 months, depending on the completeness of documents and regulator feedback.
Taxation of licensed crypto companies in Malta
Malta’s tax regime is both competitive and transparent:
- Corporate tax: 35% standard, reduced to ~5% with refunds
- VAT: 18%, not applicable to most crypto services
- No capital gains tax on long-term crypto holdings
- No withholding tax on dividends and interest
This system allows efficient structuring while staying aligned with EU standards.
Why choose Prifinance as your partner
Choosing https://prifinance.com/ means partnering with experts who know how to make the licensing process smooth and predictable.
We provide full support in obtaining a crypto exchange license Malta, guiding you through company registration, compliance setup, preparation of AML/KYC policies, and communication with the MFSA.
With our lawyers, compliance specialists, and tax advisors, your business gains a secure and cost-effective pathway into the EU crypto market.
