The law on digital currencies became effective January 15, 2019. Organisers of unregistered ICOs face up to 10 years in prison.
In Malaysia, cryptocurrencies are now regarded as securities. It means the crypto industry in the country will be regulated by Malaysia’s Securities Commission. The Malaysia’s Finance Ministry will put in place regulatory guidance for conducting ICOs and providing cryptocurrency exchange services.
The law on digital currency and tokens goes into effect on January 15th. Organisers of unregistered ICOs could face up to 10 years in prison and are subject to heavy fines of RM10 million (~ $2.5 million). The same goes for unlicensed digital assets exchanges.
Lim Guan Eng, Finance Minister, stated all instruments and crypto related activities in the country must comply with current legislation.
“The Ministry of Finance views digital assets, as well as its underlying blockchain technologies, as having the potential to bring about innovation in both old and new industries,” said Lim. “In particular, we believe digital assets have a role to play as an alternative fundraising avenue for entrepreneurs and new businesses, and an alternate asset class for investors.”
