Malta, 25 Oct 2024:— Chiliz Group, the global leader in blockchain technology for sports and entertainment, is pleased to announce that its flagship platform, Socios.com, has secured in-principle approval from the Malta Financial Services Authority (MFSA). This milestone reinforces Chiliz Group’s commitment to operating within regulatory frameworks and advancing its role in pioneering the use of blockchain for fan engagement.
The MFSA’s in-principle approval is for a class 3 Virtual Financial Assets Act (VFAA) licence to provide Virtual Financial Asset (VFA) services. This allows Socios.com to operate as a regulated Virtual Financial Asset service provider, enabling it, amongst other services, to engage in the placement of virtual financial assets. More importantly, it positions Socios.com as a trusted, regulated, and compliant platform, providing sports fans with unparalleled opportunities to connect with their favourite teams such as PSG, Man City, and FC Barcelona via Fan Tokens.
The MFSA has been ahead of the curve with VFA-compliant players since 2019 and stays on top of fintech regulation to foster safe and responsible growth in this sector. Malta’s well established regulatory framework is already significantly aligned with MiCA regulation, ensuring a seamless transition for existing VFA service providers. Once transitioned under MiCA, they may passport their services across the EU.
This in-principle approval builds upon Socios.com’s existing regulatory compliance efforts in other regions. Socios.com complies with various regulations and compliance frameworks where it operates, including the financial promotions regulations regime in the UK, a VASP authorisation in Lithuania, and other registrations in Indonesia, Spain and Italy. This commitment to working within established frameworks aligns with the upcoming 2025 MiCA regulation and underscores Chiliz Group’s dedication to building a responsible and sustainable blockchain ecosystem for sports and entertainment, especially with over 100 employees based in Malta.
Chiliz Group was assisted and advised by WH Partners during the approval process and would like to thank them for their invaluable role in the process.
Alexandre Dreyfus, CEO of Chiliz and Socios.com, commented: “This in-principle approval from the MFSA is a significant milestone for the Chiliz Group, specifically our Socios.com platform. It validates our commitment to regulatory compliance and transparency in the rapidly evolving blockchain space. As pioneers in the SportFi sector we recognise that the highest standards of regulation and transparency are required to build trust with all stakeholders in our ecosystem. With this key step we are excited to continue driving innovation in web3 and sports and entertainment while adhering to the highest regulatory standards.”
