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Summary of the MFSA Circular to VFA Service Providers

The MFSA issued a Circular on 6th September 2019 to the VFA Service Providers. The Circular is regarding the licensing requirements. VFA Service Providers who are operating in transitory would need to commence the license application by not later than the already stipulated deadline, that being on the 31st of October 2019.

The Circular applies to those who wish to commence the application for the license, and for those who do not longer want to provide VFA Services upon the expiration of the transitory period.

What is required?

The process of the license application shall commence upon the submission of a letter of intent.

You as a Service Provider would need to submit a letter of intent to the MFSA, which shall include the following:

  • An extensive description of the structure;
  • VFA Service/s for which the application is being sought and proposed persons that will be holding a key position such as C- Level Management, Directors, MLRO, and Compliance Officer amongst other positions; and
  • A legal opinion for the purpose of Section 3, Sub-Section 3, R3- Preparatory Phase of the Virtual Financial Assets Rulebook, Chapter 3. The legal opinion needs to confirm that the proposed activities does not fall within the scope of traditional financial services legislation.

Once such letter of intent is submitted to the MFSA, the authority may schedule an introductory meeting with you as a Service Provider and the appointed VFA Agent. Once such meeting is held, there is a 60-day period to submit the application form and the necessary documentation.

Guidelines of the application process for forthcoming applicants  may be found here: Such application should be done through an appointed VFA Agent.

If a Service Provider does not have the intent to submit the application for the License, then they are advised to terminate the operations and notify the MFSA before the deadline of the transitory period.

In this case, the notification of the Discontinuance of Activities and Operations needs to confirm that the Service Provider is not providing or holding itself out as providing a VFA Service in or from Malta. Such notification needs to also confirm that there are no obligations towards clients. Once compiled, the Director shall sign and send it to the MFSA.

Should you have any queries please do not hesitate to contact us on: .


The above-mentioned article is simply based on independent research carried out by Dr. Werner and Partner and cannot constitute any form of legal advice. If you would like to meet  up with any of our representatives to seek further information, please contact us for an appointment.





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Author of the post

Dr. Rebecca Mifsud

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