The Malta Gaming Authority has announced amendments to its Sandbox Regulator Framework saying changes become necessary from time to time due to technological and regulatory developments.

The amendments have been made to the document: ‘Guidance on the use of Innovative Technology Arrangements and the acceptance of Virtual Financial Assets and Virtual Tokens through the implementation of a Sandbox Environment,’ which the MGA described as a 'living' document.

In line with the recent changes, the authorised person and/or prospective authorised person is required to submit a legal opinion signed by a registered VFA agent with regard to the licensability or otherwise of the services, in terms of the Virtual Financial Assets Act, to be undertaken by the authorised person and/or any service provider engaged by the authorised person within the Sandbox environment.

The amendments also lay down that authorised persons and/or outsourcing service providers carrying out a licensable activity in terms of the Virtual Financial Assets Act must obtain a licence from the Malta Financial Services Authority.

Furthermore, the requirements relating to the verification of control that a player exercises over his/her wallet have been brought in line with applicable anti-money laundering and combating the financing of terrorism obligations.

The requirements applicable to the audit of innovative technology arrangements by auditors registered with the Malta Digital Innovation Authority have been clarified.

The MGA reminded authorised persons that an approval to participate in the Sandbox Regulatory Framework is conditional on the applicant holding the relevant licence, without prejudice to any other regulatory requirements stemming from other applicable legislation, including but not limited to, the Virtual Financial Assets Act and the regulations issued within the framework of that same law.