Updated at 4pm with government statement

A blockchain company's decision to sack its workers just six months after setting up in Malta shows the government has no plan how to entice investment, the Nationalist Party charged on Saturday.

The company DQR has been forced to fire most of its 65 staff and freeze its operations in Malta after one of its main investors, the German Bitcoin mining company Genesis Mining, ran into difficulties, according to Lovin Malta. 

Back then, parliamentary secretary for the digital economy Silvio Schembri hailed it as one of the largest blockchain companies in the world and said its presence “will cement Malta’s reputation as the Blockchain Island”.

Cryptocurrency markets have had a torrid time over the past 12 months, with prices crashing from all-time highs and struggling to regain momentum. 

PN spokesperson Kristy Debono said in a statement that the government can only see through its vision of turning Malta into a 'blockchain island' if it draws the interest of renowned companies that could provide their expertise and invest in Maltese workers.

"Instead of spouting empty words, the government should ensure we are not amateurs where it comes to the economy and that due diligence is carried out properly when giving out licences. We can't continue denting our reputation and credibility," she said. 

'Just out to criticise' - PL

Mr Schembri's secretariat soon hit back with a statement of its own, in which it noted that the PN had declined to take part in any of the six public consultations held concerning blockchain legislation and the sector. 

In the statement, the digital economy secretariat accused the Opposition of being "against economic innovation and blockchain" and said that the government and financial regulator would continue to work to ensure the sector grewin Malta.