Malaysian Regulator Proposes Pre-Approved Crypto Listings
The Securities Commission Malaysia (SC) is proposing a framework that would allow cryptocurrency exchanges to list certain digital assets without prior regulatory approval. This initiative aims to speed up market entry, enhance accountability for exchanges, and expand product offerings. Digital assets must meet specific criteria, including passing security audits and being traded for at least one year on compliant platforms. The SC is seeking feedback on listing higher-risk assets, such as privacy coins and memecoins, due to concerns over money laundering and volatility. Additionally, the SC plans to tighten governance and custody rules for digital exchanges, requiring asset segregation, minimum financial criteria, and the appointment of a senior management member in Malaysia to oversee asset administration. Exchanges must register as custodians or partner with registered custodians to manage user assets.
