Malaysia: Adopted SCM Guidelines on Digital Assets

On 19 August 2024, the Securities Commission of Malaysia adopted the guidelines on digital assets. The guidelines classify digital currencies and tokens as securities under the Capital Markets and Services Act. The guidelines contain provisions on fundraising via digital token offerings, the operation of Initial Exchange Offering platforms, and the provision of digital asset custody services. The guidelines clarify that digital assets are recognised as securities but are not considered legal tender or regulated payment instruments by Bank Negara Malaysia. The guidelines apply to issuers seeking to raise funds, IEO platform operators, and providers of digital asset custody services.