Malta’s Blockchain Ambitions Face Security Concerns
As Malta strives to establish itself as a hub for blockchain and cryptocurrency businesses, concerns are being raised about the security of these emerging technologies. The Maltese parliament has passed three new laws aimed at regulating Distributed Ledger Technologies (DLT), including the Virtual Financial Assets Bill, which is set to regulate Initial Coin Offerings (ICOs) and cryptocurrency exchanges.
Lack of Regulation Creates Security Concerns
While the laws aim to provide a clear framework for businesses operating in this space, experts are warning that the rapid growth of blockchain-based activities in Malta may be outpacing efforts to ensure their security. “The lack of regulation and oversight has created an environment where security concerns can go unchecked,” said industry expert George Sammut.
PwC Urges Businesses to Prioritize Security
PwC, one of the world’s leading professional services firms, is urging businesses operating in the blockchain space to take steps to ensure the security of their operations. “At PwC, we understand the importance of trust and transparency in markets,” said Keith Cutajar, a partner at PwC Malta. “We are committed to helping our clients develop and execute their blockchain strategies, while also ensuring that they meet the highest standards of security.”
New Laws Aim to Regulate Blockchain Activities
The three bills passed by the Maltese parliament aim to provide a clear regulatory framework for DLT businesses operating in Malta. The Virtual Financial Assets Bill is expected to regulate ICOs and cryptocurrency exchanges, while the Technology Arrangements and Services Bill will govern the provision of technology services related to DLT.
More Needs to be Done to Address Security Concerns
However, despite these efforts, experts are warning that more needs to be done to address security concerns in the blockchain space. “The lack of regulation and oversight has created an environment where malicious actors can take advantage of vulnerabilities,” said Fabio Axisa, a partner at PwC Malta.
PwC Offers Range of Security Services
In response, PwC is offering a range of services designed to help businesses operating in the blockchain space ensure their security. These include:
- IT security assessments
- Business continuity planning
- Disaster recovery solutions
Conclusion
As Malta continues to establish itself as a hub for blockchain and cryptocurrency businesses, it is clear that security concerns will remain a major challenge. However, with the support of professional services firms like PwC, businesses operating in this space can take steps to ensure the security and integrity of their operations.