The MFSA [Malta Financial Services Authority] has recently called out the “COINMALEX” & “Crypto Foxtrades” cryptocurrency exchanges in twin warnings earlier on Wednesday. Mentioning on their official websites, both the entities had claimed to be licensed, registered within Malta, which MFSA has denied.
COINMALEX’s official website page at “about” section features a document purporting to be from the “Malta Business Registry,” a true institution in the small European island state. The document’s letterhead prominently displays British royal coat of arms. Malta ceased using that icon when it ‘gained independence from Britain‘, earlier in the year 1964.
While on the other hand, Crypto Foxtrades official website page at “about us” section is more forthright about its alleged ‘Malta‘ ties. It claims to be “licensed & regulated as a Category 3 Investment Services provider by the MFSA [Malta Financial Services Authority].” However, the regulatory authority insisted that Crypto Foxtrades isn’t licensed beneath the mentioned ‘category‘.
Explaining further, the regulatory authority added:
“The MFSA wishes to alert the general public, in Malta and abroad, that Crypto Foxtrades isn’t a Maltese based company NOR licensed or otherwise regulated by the MFSA to offer the service of an exchange or other financial services that are required to be licensed or otherwise authorised under Maltese law.”
The regulatory authority published a similar statement for COINMALEX mentioning:
“The MFSA wishes to alert the general public, in Malta and abroad, that COINMALEX isn’t a Maltese based company NOR licenced or otherwise regulated by the MFSA to offer the service of an exchange or other financial services that are required to be licensed or otherwise authorised under Maltese law.”
At the time of reporting, both Crypto Foxtrades & COINMALEX haven’t responded to any of these comments.
The regulatory authority has been closely policing allegedly Maltese cryptocurrency based businesses since 2018, issuing warnings ‘wherever‘ and ‘whenever‘ it spots any entity claiming phony licensure. Its efforts came to a head earlier in February claiming that Binance, one among the world’s renowned exchanges, had never operated in ‘Malta‘ nor was ever regulated by MFSA.