The Central Bank of Malaysia, Bank NEGARA MALAYSIA, said that he would delve into the study of asset tokenization, but was not going to recognize cryptocurrencies with a legal payment tool.

Asset tokenization can expand the capabilities of the financial market, payments and calculations will become more transparent, and tokenized deposits can become an excellent addition to the wholesale digital currency of the Central Bank (CBDC), according to the Central Bank of Malaysia.

At the same time, the Central Bank shows caution in relation to cryptocurrencies. The regulator said that in Malaysia, cryptorrhoids remains small compared to the total volume of the domestic financial market. Based on the aggregate pure outflow of deposits from banks to internal registered crypto -tanks, as of the end of 2024, digital assets account for less than 1% of the total bank deposits and about 0.4% of the market capitalization of securities quoted on the BURSA MALAYSIA exchange.

Nevertheless, according to the regulator, in 2024, the total trade of cryptocurrency trade in the country increased by 157%to $ 3.06 billion. While in 2023 this indicator amounted to $ 1.19 billion. Bank NEGARA MALAYSIA made it clear that cryptocurrencies would not be recognized as legitimate payment in the country, but the Central Bank will continue to monitor crypto industry.

At the beginning of the year, the Malaysian authorities proposed using a blockchain to identify a person to increase the level of safety of digital transactions and prevent fraud with personal data.