[2017-11-07] Malaysia's Securities Watchdog Plans Cryptocurrency Regulations

[FollowSynergy]

Malaysia's securities regulator has revealed it is planning a regulatory framework for cryptocurrencies.

Speaking yesterday at the SCxSC Digital Finance Conference in Kuala Lumpur, the chairman of Securities Commission Malaysia (SC), Tan Sri Ranjit Ajit Singh, explained that SC is working on "relevant regulations and guidelines" for functional use cases of digital assets. These include "secondary market trading of established cryptocurrency and digital assets" in the capital market, he said.

According to a report by Edge Markets, Ranjit indicated that SC is working closely with the country's central bank, Bank Negara Malaysia (BNM), to sketch out a framework on cryptocurrencies that it expects to finalize in the coming months.

He reportedly said:

    "Together with BNM, we will look at the area carefully and as SC is in charge of the secondary market, we would craft regulations to ensure that the trading values have the right conditions in place for market integrity and investor projection purposes".

According to the report, Ranjit further said that various cryptocurrency exchanges have approached the regulator and that, once the framework is outlined, the SC would then see which exchanges are registered.

The SC chairman also revealed that his agency is working on a pilot project to explore distributed ledger technology (DLT) for unlisted and OTC markets.

Planned to boost digital innovation in Malaysia's capital markets, Ranjit said the findings from the pilot would be published as an "industry blueprint."

The news may mark a softening of the country's previous stance on the trading of cryptocurrencies. Just a month ago, the central bank indicated it make a decision on whether to ban the trading of cryptocurrencies "before the end of the year."

https://www.coindesk.com/malaysias-securities-watchdog-plans-cryptocurrency-regulations/

[goldchain]

Hmm, there are more and more countries planning regulatory framework for cryptocurrencies. I don't know, whether it's good or bad for the development of cryptocurrencies in near future... 

[Reatim]

Hmm, there are more and more countries planning regulatory framework for cryptocurrencies. I don't know, whether it's good or bad for the development of cryptocurrencies in near future... 

I guess its good, at least they would allowed for cryptocurrencies to flourish in their country as compare to those nation who have already put a total ban on it. It will also give a lot of Malaysians opportunity to earn with cryptocurrency because they have already doing it ever since bitcoin and cryptocurrency started. Just check their local boards its been very busy. So for me its a welcoming news that they would put a regulations around it and not a total ban.

[wilhb81]

Hmm, there are more and more countries planning regulatory framework for cryptocurrencies. I don't know, whether it's good or bad for the development of cryptocurrencies in near future... 

I guess its good, at least they would allowed for cryptocurrencies to flourish in their country as compare to those nation who have already put a total ban on it. It will also give a lot of Malaysians opportunity to earn with cryptocurrency because they have already doing it ever since bitcoin and cryptocurrency started. Just check their local boards its been very busy. So for me its a welcoming news that they would put a regulations around it and not a total ban.

I totally agree with you here. The main reason why the Securities Commission of Malaysia is taking a strict enforcement on Cryptocurrency, maybe, it's due to the enormous number of money games that already scammed countless of investors inside the country. As a result, the Malaysia's government regulates the cryptocurrency for the good of their citizens.

[Clegive8V]

good news when many countries support virtual money new users when try to make fast money from bitcoin that make price increase more.
Will the restrictions be related to individuals or transfer exchanges? Is it a taxpayer?
hope it Cryptocurrency Regulations for people not exchanges
Malaysia is a developed country and its support for cryptocurrencies will make many crypto-goers go to these countries.

[iamTom123]

Hmm, there are more and more countries planning regulatory framework for cryptocurrencies. I don't know, whether it's good or bad for the development of cryptocurrencies in near future... 

Generally speaking, I would not say it is good but this is definitely much, much better compared to the total ban effected by China in their jurisdiction. We have to compromise because it can not be denied that the sovereign power of the state resides in the government and so anytime they can just closed the market and just tell all operators to stop doing business with Bitcoin and other cryptocurrencies in the market. Regulations can even be working good for Bitcoin all because we have to protect the consumers from possible scam artists (and they are present in any industry without exemption). All we ask is that the government planning to pass regulations should consult with the people to be affected by legal procedures so that growth of cryptocurrency will not be affected.