The Gibraltar Stock Exchange’s blockchain subsidiary has officially received approval from the country’s financial regulator. This marks the Gibraltar blockchain exchange licensed under the new regulatory framework.

On Thursday, Nov. 22, the Gibraltar Blockchain Exchange (GBX) announced it received a license from the Gibraltar Financial Services Commission (GFSC). The license comes under the new distributed ledger technology (DLT) framework. GBX now claims to be the first stock exchange to own a regulated blockchain exchange.

The GBX launched in July as an “institutional-grade” digital asset exchange and token sale platform. Currently, it supports onboarding US dollars and offers several trading pairs against the USD. The exchange plans to add more trading pairs and fiat options soon.

Regarding its new status, the exchange said, “The license acquired by the GBX is Category 3, the highest category under the DLT regulatory framework.”

Gibraltar Leads With Crypto Regulation

The CEO of the exchange, Nick Cowan, said, “Gibraltar has found the right blend of sensible and supportive regulation.” He added that this balance has helped position Gibraltar as a lodestar for the global cryptocurrency space. It also allows blockchain companies to flourish.

In January, the GFSC announced the DLT regulatory framework. This framework requires companies that use blockchain to store or transmit value belonging to others to apply for a license. The plan to create this licensing scheme was made public in December 2017.

In March, the Gibraltar government revealed its intention to regulate initial coin offerings (ICOs) in its jurisdiction. The government decided this because most tokens are not considered securities under Gibraltar or EU law.

In conclusion

The Gibraltar Blockchain Exchange, a subsidiary of the Gibraltar Stock Exchange, has received a license from the country’s financial regulator.

This official approval puts the exchange in pole position as the first-ever stock exchange to own a regulated blockchain exchange. The exchange currently allows onboarding of the US dollar and offers several trading pairs against the USD. It plans to add more trading pairs and fiat options in the future.

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