- Malaysia has plans to advance crypto regulations amid collaborations with Asian partners.
- The quest for proactive crypto regulation is growing around the world.
Malaysian Prime Minister Anwar Ibrahim recently cemented the country’s ties with the United Arab Emirates (UAE), particularly focusing on crypto regulations. The partnership between Malaysia and the UAE emphasizes the increasing collaboration with several nations to spearhead crypto developments.
The Malaysia-UAE Partnership
Prime Minister Ibrahim announced that Malaysia is strengthening its relationship with the UAE by collaborating with Bahrain. Ibrahim said his recent discourse with Bahrain’s Crown Prince focused on cementing bilateral cooperation and benefits for both nations’ economies.
Malaysia and Bahrain have pledged to support cryptocurrency, the Sandbox platform, connectivity, tourism, and manufacturing. As part of its commitment to the partnership, Bahrain promised to support the upcoming ASEAN-GCC summit, scheduled to hold in Malaysia.
As previously mentioned in our report, Ibrahim met with key UAE officials in January, including President Sheikh Mohamed bin Zayed Al Nahyan. The Prime Minister’s visit occurred during the 2025 Abu Dhabi Sustainability Week (ADSW). He talked about Malaysia’s dedication to building worldwide alliances in technology, renewable energy, and finance.
Ibrahim also met with Binance founder Changpeng Zhao in the company of UAE officials to discuss potential frameworks around crypto regulations. Their discussions centered on creating policies tailored to include the crypto industry and modernize Malaysia’s financial system.
Malaysia’s deliberate efforts to strengthen its ties with the UAE align with its general goal of modernization and digital transformation as cryptocurrencies attract more global attention. Malaysia has continued to pledge its support for the crypto sector, ensuring companies comply with capital market rules.
In January, the Securities Commission of Malaysia (SC) ordered Bybit to cease unregistered digital asset operations and advertising within the country. As CNF noted in an earlier article, SC accused Bybit of running a digital asset exchange without appropriate registration as a Recognised Market Operator (RMO).
Considering this violation, SC mandated Bybit to deactivate its website, mobile apps, and other digital platforms in Malaysia. SC also asked Bybit to instantly stop any ads meant for Malaysian investors, including those shared on social media and other outlets.
More Discussions on Crypto Regulations
Discussions on establishing crypto regulations have become increasingly popular in the past few weeks. Many stakeholders believe the evolution of crypto is dependent mainly on the enactment of strong crypto policies.
In the United States, there are rising complaints that regulatory uncertainties have affected the country’s crypto ecosystem. As we reported last week, Coinbase, a major exchange in the US, recently proposed a six-point plan to redefine the country’s approach to crypto regulation.
Coinbase’s framework requested the government to implement legislation that safeguards the consumers and promotes the blockchain economy without excessive regulation.
Across Italy, financial regulators and the Central Bank are stepping up efforts to regulate the crypto market. Their efforts follow concerns over financial security, cybersecurity threats, and money laundering risks, as reviewed in our recent publication.
Furthermore, Ukraine has revealed plans to legalize crypto by the summer of 2025, finalizing tax policies and transaction monitoring rules. The government plans to treat crypto as an investment asset, thereby subjecting crypto holders to standard taxation.
