Malta Gaming Authority Commences Second Phase of Sandbox Framework Cryptocurrency Initiative

The Malta Gaming Authority (MGA) is ready to begin the next phase of its cryptocurrency initiative, with a final goal of exploring the possibilities for them to be used with licensed gambling operators in this island-nation.

The project, dubbed Sandbox Framework, has been active for quite some time. It was launched in January and since then, multiple licensees received their permits to carry out tests of blockchain assets in an environment that is highly controlled.

Deploying ITAs

In this next, second phase…

…the regulator will begin accepting applications for the so-called innovative Technology Arrangements (ITAs). ITAs contain solutions and services like smart contracts and Distributed Ledger Technology.

Operators wishing to get approval for ITA will be subjected to an audit which will be done by Malta Digital Innovation Authority-registered auditor. MGA will use this data to give its best judgment whether operator will be able to comply with requirements even before they are given approval.

First Phase Went Great

Sandbox Regulatory Framework will be extended until December 31st 2021…

…according to MGA, which has confirmed this. It was initially due to run for ten months. Another change is that it was originally intended only for operators who already have a Maltese license, which is no longer the case.

However, the big success of phase one, which was primarily focused on blockchain, the regulator decided to amend the guides on ITAs and general acceptance of cryptocurrencies. Also, MGA updated the Licensee Relationship Management System. Moving forward, both prospective and existing license-holders will apply for approval to integrate ITAs within their operations.

Sports Integrity Unit Launched

Malta Gaming Authority has been busy over the summer…

…as they unveiled their brand-new branch, the Sports Integrity Unit, that is going to deal with prevention of fraud in sports events and competitions.

Heathcliff Farrugia, MGA’s CEO, said on the occasion:

“Having a dedicated Sports Integrity Unit is vital for the MGA’s statutory objective to ensure that gambling is free from crime, specifically the manipulation of sports competitions. The MGA is committing to cooperation with stakeholders to the extent permitted by law to act against a pervasive phenomenon that threatens the integrity of both the sports and the betting industries.”

Self-Exclusion System Full Steam Ahead

The regulator has also commenced its unified self-exclusion system, after gathering public opinion in early March.

The system would allow for players to block their access to all licensed operators’ sites within Malta. All operators in Malta are required to have that option available to their players, but they can’t link their databases with other companies.

Similar schemes have been introduced in Sweden and Pennsylvania over the course of previous several months.

Source:

“MGA launches second phase of cryptocurrency experiment”, igamingbusiness.com, September 4, 2023