Malaysian regulators have proposed a new initiative to simplify the crypto assets listing process, aimed at enhancing efficiency and market competitiveness.
SC Malaysia Initiative
The Securities Commission Malaysia (SC Malaysia) is leading this initiative, allowing digital asset exchanges to list certain cryptocurrencies without prior approval if they meet specified criteria. This measure aims to improve market operations and scale trading activity. *'The proposed approach seeks to reduce the time-to-market for new and innovative digital assets deemed to meet the minimum eligibility criteria and risk requirements, while maintaining robust governance standards for DAX operators,'* noted **Securities Commission Malaysia**.
Impact on Trading and Market
These proposed changes may lead to increased local trading volumes and asset variety. Digital asset exchanges will need to heighten their **governance standards**, ensuring asset segregation and operational resilience. Trading values surged to RM13.9 billion in 2024, over double the previous year, indicating rapid market expansion.
Future of Crypto Market in Malaysia
Immediate impacts include potential market vibrancy and liquidity enhancement. The proposal creates pathways for listings of governance and DeFi tokens, as well as major cryptocurrencies like BTC and ETH, aligning with investor protection priorities. The reform targets expanding institutional involvement, alongside required **operational controls** for exchanges. This strategic shift could enhance Malaysia’s standing as a regional crypto hub, promoting both traditional and digital investment.
Evaluating sectoral implications sheds light on potential turnover impacts and regulatory success metrics. As the proposal undergoes public consultation, insights from past regulatory shifts underscore prospects for increased local crypto activity and institutional engagement.
