Malaysia's regulated crypto trading exceeds $4 billion in 2025

Regulated cryptocurrency activity in Malaysia grew to RM17.14 billion (over US$4 billion) in 2025, a 23 % increase from the previous year. Fitch Ratings highlighted the country’s clear regulatory and Shariah‑compliant approach as a key factor behind the expansion.

Regulated market size and growth

The Securities Commission Malaysia (SC) recorded RM17.14 billion in trading volume on licensed digital‑asset exchanges for 2025, up from RM13.93 billion in 2024. The figure represents roughly 2.5 % of the total value traded in Malaysia’s domestic equity market.

Licensed operators and market structure

By mid‑2026, ten digital‑asset firms held regulatory status across three categories: exchanges, initial exchange offering (IEO) platforms, and custodians. The SC’s official register lists five exchange operators – HATA Digital, Luno Malaysia, MX Global, SINEGY DAX and Kinetic DAX – as well as IEO platforms Kapital DX and Pitch Platforms, and custodians CoKeeps, Gambit Custody and Jada Platform.

Shariah‑compliant digital assets

The SC’s Shariah Advisory Council treats regulated digital currencies as "mal" (property) and permits trading of assets that meet its criteria. Currently, Bitcoin, Ether, XRP and Stellar are listed as Shariah‑compliant. Earlier decisions also granted status to Litecoin, Bitcoin Cash, Solana, Cardano, Chainlink, Uniswap, Avalanche, Polkadot and others.

Institutional participation

Investor numbers rose about 29 % in 2025, with traditional capital‑market firms – stockbrokers and fund managers – offering digital‑asset exposure. Exchange‑traded funds and clearer regulations contributed to the growth.

Regulatory developments

In May 2026 the SC revised its Digital Asset Exchange rules, tightening client‑asset protection, governance and financial‑resource requirements. Licensed exchanges will join the Financial Markets Ombudsman Service in 2026, giving investors access to formal dispute resolution.

Bank involvement and central‑bank initiatives

Bank Negara Malaysia remains cautious, limiting direct crypto services to regulated operators. The central bank is testing ringgit‑linked stablecoins and tokenized deposits through its Digital Asset Innovation Hub, with results expected by the end of 2026.

Regional context

Fitch notes that Islamic‑finance markets elsewhere show varied Shariah interpretations and fewer common standards, limiting uniform adoption of crypto products across jurisdictions.