---
type: country
domain: crypto-regulation
status: stable
tags: ["crypto-regulation", "southeast_asia", "fatf/apg", "legal"]
aliases: ["MY", "MYS"]
created: 2026-06-01
updated: 2026-04-02
compile_into: ["[[country--malaysia]]"]
sources:
  - name: "https://www.sc.com.my"
    url: "https://www.sc.com.my"
    type: "official"
  - name: "https://www.bnm.gov.my"
    url: "https://www.bnm.gov.my"
    type: "official"
---

#  Malaysia (MY) — Crypto Regulation

> Malaysia has a clear regulatory framework for digital assets under the Capital Markets and Services (Prescription of Securities) (Digital Currency and Digital Token) Order 2019, regulated by the Securities Commission Malaysia (SC). The country supports innovation through initiatives like regulatory sandboxes and public consultations on tokenisation frameworks.

## Overview

| Field | Value |
|-------|-------|
| Status | Legal |
| Risk Score | 37/100 (Moderate Risk) |
| Enforcement Level | High |
| Region | [[domain--asia-pacific|southeast asia]] |
| Currency | [[entity--myr|MYR]] |

## Tax

| Type | Rate |
|------|------|
| Capital Gains (Personal) | 0% (no capital gains tax on crypto for individuals) |
| Capital Gains (Corporate) | 24% corporate tax (may apply if crypto is trading stock) |
| VAT on Crypto | No |
| Mining Tax | Taxable as business income; mining rewards treated as revenue in nature and subject to income tax at applicable rates (progressive 0-30% for individuals, 24% for companies) upon receipt |

## Licensing

| Field | Value |
|-------|-------|
| Required | Yes |
| Regulator | [[entity--sc|SC]] / BNM |
| Framework | Capital Markets and Services (Prescription of Securities) (Digital Currency and Digital Token) Order 2019; supplemented by Guidelines on Recognized Markets (revised 20 May 2026) and Guidelines on Digital Assets (latest revision 19 August 2024) |
| Ease | medium |
| Cost | ~USD 1,050,000 minimum paid-up capital for RMO-DAX (RM 5,000,000); ~USD 105,000 minimum for DAC (RM 500,000). Application/processing fees under Capital Markets and Services (Fees) Regulations 2025 (effective 1 January 2026). |
| Timeline | 6-12 months |

Licensing is regulated by the Securities Commission Malaysia with specific licenses for digital asset service providers. The process is structured but requires compliance with AML and capital market regulations.

## AML / KYC

| Field | Value |
|-------|-------|
| KYC Required | Yes |
| Travel Rule | Yes |
| FATF Member | Yes |
| FATF Status | compliant — not on grey list; October 2025 MER adopted; 24 Compliant + 16 Largely Compliant recommendations; roadmap issued for ML prosecution improvement |

## DeFi

**Status:** regulated

DeFi activities fall under the regulatory scope of the Securities Commission Malaysia, requiring compliance with existing capital market laws and AML regulations.

## Stablecoins

**Status:** developing

Malaysia has no specific stablecoin regulation framework as of June 2026; general digital asset and AML guidelines apply to any stablecoin activities on SC-licensed platforms. BNM is actively piloting MYR-denominated ringgit stablecoins and tokenised deposits under the DAIH, with full regulatory guidelines expected by end-2026. These pilots may serve as a pathway toward a wholesale CBDC.

## NFTs

**Status:** unregulated

## Mining

| Field | Value |
|-------|-------|
| Legal | Yes |
| Electricity Cost | $0.063/kWh |
| Renewable Energy | 20% |
| Climate | tropical |
| Infrastructure | good |

Mining is legal with moderate electricity costs and a growing renewable energy share. Infrastructure supports data centers and mining operations, especially in urban areas.

## Geopolitics

| Field | Value |
|-------|-------|
| Stability | stable |
| Sanctions | No |
| Corruption Index | 47/100 |
| Ease of Business | easy |
| Internet Freedom | free |
| Banking Access | open |

## Enforcement

No detailed enforcement information available

## CBDC Status: pilot

## FAQ

### Is cryptocurrency legal in Malaysia?

Malaysia has a clear regulatory framework for digital assets under the Capital Markets and Services (Prescription of Securities) (Digital Currency and Digital Token) Order 2019, regulated by the Securities Commission Malaysia (SC). The country supports innovation through initiatives like regulatory sandboxes and public consultations on tokenisation frameworks.

### What is the FATF status of Malaysia?

Malaysia is classified by FATF as: compliant — not on grey list; October 2025 MER adopted; 24 Compliant + 16 Largely Compliant recommendations; roadmap issued for ML prosecution improvement.

### Are VASPs licensed in Malaysia?

Yes, licensing is required for VASPs.

### What is the AML/KYC regime in Malaysia?

KYC is mandatory for crypto businesses. Travel rule threshold: all transactions (no de minimis).

---

*Data source: [Soken Crypto Legal Map](https://soken.dev/crypto-map/). Last reviewed: 2026-06-01.*

**Sources:**
- [https://www.sc.com.my](https://www.sc.com.my)
- [https://www.bnm.gov.my](https://www.bnm.gov.my)