Malaysia plans to allow cryptocurrency exchanges to independently list digital tokens from 2026, marking a major overhaul of the current regulator-led approval system.
Speaking at the Finternet 2025 Asia Digital Finance Summit, Wong Huei Ching, executive director of digital strategy and innovation at Securities Commission Malaysia, said the regulator will issue enhanced guidelines next year that will allow exchanges to list tokens based on their own governance processes, rather than requiring separate permission from the SC.
Currently, cryptocurrencies are subject to a restricted listing process, with each token required to be reviewed and approved by a commission before being traded on any of the country’s six licensed exchanges.
To date, regulators have approved only 19 tokens for trading, including major assets such as Bitcoin, Ethereum, and Ripple, as well as other assets such as Solana, Cardano, and Polkadot.
However, the updated structure will allow exchanges that meet the necessary criteria to independently evaluate and list tokens, provided they maintain strict internal controls and transparency protocols.
The Securities Commission Malaysia first proposed this liberalized framework in July 2025 as part of a larger consultation on modernizing digital asset exchange rules.
At the time, regulators outlined their intentions to accelerate the token listing timeline, improve investor access, and alleviate regulatory bottlenecks.
It also said exchanges are expected to strengthen internal governance and adopt stricter due diligence measures to complement their expanded responsibilities.
The latest reforms are likely to come in response to the rapid growth of Malaysia’s cryptocurrency ecosystem.
Over the past few years, the country’s digital asset industry has seen increased transaction volumes, increased user participation, and increased institutional involvement.
According to official data, the total trading volume of virtual currencies soared from RM5.4 billion in 2023 to RM13.9 billion in 2024.
By 2025, more than 840,000 Malaysians will have opened accounts on regulated platforms, and the country currently ranks among the top 10 in the world for crypto ownership.
Virtual currency regulation across Asia
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While Malaysia is moving towards a more flexible regime that allows exchanges to take the lead in token listings, other Asian jurisdictions are less tolerant of such autonomy, largely due to concerns about investor protection and other systemic risks.
For example, in Hong Kong, the Securities and Futures Commission requires all licensed trading platforms to obtain explicit approval before listing tokens for retail investors.
The city has also enforced strict custody rules and restricted retail access to a small list of large cryptocurrencies such as Bitcoin.
Similarly, in Japan, new tokens must first be reviewed and approved by the Japan Virtual Cryptocurrency Exchange Association.
Although the country has adopted a self-regulatory model, the JVCEA has veto power and emphasizes user protection.
Thailand tightly controls the list of approved cryptocurrencies and imposes strong oversight on all licensed entities in this space.
And while South Korea is seeking cautious liberalization through pilot programs, it continues to enforce strict standards in user protection laws and is moving toward a comprehensive legal framework.
