Any person wishing to make an IVFAO in or from within Malta is required to apply to the MFSA through a VFA Agent. The process to be undertaken is as follows:


Completion of the Financial Instrument Test

Setting Up of the Malta Entity

Appointment of Functionaries
  After compiling the draft Whitepaper for the project, prior to proceeding further with the application, the Issuer is required to carry out a Financial Instrument Test in order determine if the token being issued qualifies as a VFA and hence regulated under the Act and VFA regime. An Issuer must be a legal person duly formed under the laws of Malta to launch an IVFAO. This can be either a Maltese Company or a Maltese Foundation. At this stage, the Issuer will appoint a Board of Administrators who have adequate knowledge and expertise in the sector At this stage, the Issuer should, in addition to the VFA Agent, appoint the following functionaries who must be in the office at all times:
i) Auditor
ii) Systems Auditor
iii) Custodian
iv) MLRO


Completion of a Fitness and Properness Assessment

Finalisation of Whitepaper
  The VFA Agent is obliged to perform a regulatory test adopted by the Maltese Regulator (MFSA) in order to ensure that the qualified parties, such as the directors, shareholders and the chiefs, demonstrate solvency, competency and integrity in all their dealings. The VFA Agent is required to review the Whitepaper to ensure that it meets the conditions set out in Schedule 1 of the VFA Act and particularly that it allows interested investors to make an informed decision about the IVFAO. The Whitepaper is then signed by the Board of Administrators.

& Launch

Endorsement of Financial Instrument Test and Submission of Whitepaper

Commencement of the Offering of the VFA or Admission on a DLT Exchange
  The Board of Administrators signs the Financial Instrument Test which is then endorsed by the VFA Agent. The VFA Agent submits the application pack with the MFSA at least ten working days prior to the launching of the VFA. The Issuer shall commence the offering of its VFAs to the public or shall proceed with the admission of its VFAs to trading on a DLT exchange within six months from the date of registration of the Whitepaper with the MFSA.

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