Three firms get nod to operate digital asset exchanges

KUALA LUMPUR: The Securities Commission has registered three recognised market operators (RMO) to establish and operate digital asset exchanges (DAX) in Malaysia.

In a statement, the SC named Luno Malaysia Sdn Bhd, SINEGY Technologies (M) Sdn Bhd and Tokenize Technology (M) Sdn Bhd as the three approved companies.

DAX operators that have not been approved by the SC are required to cease their activities and return all monies and assets collected from investors.

“Operating a DAX without authorisation from the SC is an offence under securities laws and a person in breach may be liable to a fine or imprisonment term or both,” said the regulator.

On Jan 15, the Capital Markets and Services (Prescription of Securities) (Digital Currency and Digital Token) Order 2019 came into force to regulate digital assets and exchange platforms. New requirements for operators were also issued via the revised Guidelines on Recognised Markets on Jan 31.